Scenario 12.3 - the Cat Café

Multiple Choice

Scenario 12.3 - The Cat Café
Daily demand for cat litter at the Cat Café in Jones is 1500 ounces with a standard deviation of 300 ounces.The proprietor orders the best cat litter money can buy online,and the average shipping time is 5 days.Of course,if the order is placed at the end of the week,then it may take a while longer to receive the shipment,so the standard deviation of lead time is 2 days.The state health department keeps a close eye on the condition of the Cat Café;a cat-loving inspector visits at least twice a week,ostensibly to inspect,but mostly to pet his favorite Scottish Fold cat named Groundskeeper Willie.
-Suppose the café wishes to erase any hint of impropriety and wants to peg their service level at 99.5%.What is the level of safety inventory they should carry?

A) 7500 ounces
B) 3074 ounces
C) 19350 ounces
D) 7918 ounces