Essay
Weekly demand for avocados at the Guac Shop is normally distributed with a mean of 2500 and a standard deviation of 650.The store manager has decided to follow a periodic review policy to manage inventory of avocados.They plan to order every two weeks.The farmers currently take two weeks to fill an order.Given a desired CSL of 97.5 percent,how much safety inventory should the Guac Shop carry? What should their OUL be?
Correct Answer:
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ss = Fs-1(CSL)× σT + L
= NORMS...View Answer
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Correct Answer:
Verified
= NORMS...
View Answer
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