Calculate the p

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A regional distributor purchases discontinued appliances from various suppliers and then sells them on demand to retailers in the region. The distributor operates 5 days per week, 45 weeks per year. Only when it is open for business can orders be received. Management wants to re-evaluate its current inventory policy, which calls for an EOQ of 433 counter-top mixers. The following data are estimated for the mixer:

-Average daily demand = 114 mixers

-Standard deviation of daily demand ( = 30 mixers

-Lead time (L) = 3 days

-The distributor uses a Periodic review (P) system

Calculate the P (in workdays, rounded to the nearest one decimal) that gives approximately the same number of orders per year as the EOQ. (Do not include units in the answer)

Reference no: EM132723059

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