Using the Fixed-Time Period Inventory Model and Given an Average

Multiple Choice

Using the fixed-time period inventory model and given an average daily demand of 15 units,3 days between inventory reviews,1 day for lead time,30 units of inventory on hand,a service probability of 98 percent and a standard deviation of daily demand is 3 units,which of the following is the order quantity?

A) About 30.4
B) About 42.3
C) About 53.7
D) About 56.8
E) About 59.8