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1. In your role as production planner, you have experienced too many stock outs on one particular item. This item has 308 pints of demand during the lead time and a standard deviation during the lead time of 10.8 pints.
Calculate the Safety Stock assuming a 5% risk level. (Keep two decimal places in your answer which should be a percentage)
2. Management has not been pleased with the number of stockouts for a particular item. This item has 550 pounds of demand during the lead time and a standard deviation during the lead time of 55 pounds.
Calculate the Safety Stock assuming a 4% risk level. (Keep two decimal places in your answer)
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Looking forward to next year, if Baldwin's current cash balance is $22,636,672 and Cash Flows From Operations next period are unchanged from this period, which of the following will activities expose Baldwin to the most risk of needing an emergency l..
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Demand during a product’s lead time is 218 units with a standard deviation of 40 units. If the reorder point is 300 units, what is the service level?
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