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Assume the distribution of usage is normal

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Reference no: EM132263126

A restaurant uses an average of 60 jars of a special sauce each day. Daily usage of sauce has a standard deviation of 3 jars. The manager is willing to accept no more than a 10 percent risk of stockout during lead time, which is two days. Assume the distribution of usage is normal. Find the reorder point. How much of this is safety stock? What is the service level?

Reference no: EM132263126

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