Question

A sporting goods company has a distribution center that maintains inventory of fishing rods. The company...

A sporting goods company has a distribution center that maintains inventory of fishing rods. The company uses continuous review policy. The fishing rods have the following demand, lead time, and cost characteristics:

Average demand =100 units per day
Desired cycle service level=91%
Lead time = 3 days
Standard deviation for demand during lead time = 41

What is the reorder point (ROP)?

341

300

329

355

0 0
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Answer #1

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