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More Info Resulting service level (%) 90 95 z value 1.28 1.65 2.33 3.08 99.9 PrintDoneProblem 2 - Bookmatch Question Help * Mountain Mouse makes freeze-dried meals for hikers. One of Mountain Mouses biggest customers is a sporting goods superstore. Every 5 days, Mountain Mouse checks the inventory level at the superstore and places an order to restock the meals. These meals are delivered by UPS in 2 days. Average demand during the reorder period and order lead time is 100 meals, and the standard deviation of demand during this same time period is about 20 meals. Click the icon to view the table of z values. a. Calculate the restocking level for Mountain Mouse. Assume that the superstore wants a 90% service level. What happens to the restocking level if the superstore wants a higher level of service say 95%? The restocking level for he 90% service level is meals. Enter your response ounded up to the next whole number

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Answer #1

Reorder point = dL + zσd√L

Where z = number of standard deviations based on service level 90% = 1.28 from z table

σd = standard deviation of demand = 20

L = Lead Time = 2 days

d = average demand = 100

Reorder Point = 100*2 + 1.28*20*√2 = 236.20 = 237

at service level of 95%, z = 1.65

Reorder Point = 100*2 + 1.65*20*√2 = 246.67 = 247

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