Finding the reorder point

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Reference no: EM131877398

Question: Hotel ABC has contracted out its towel laundering work. The lead time for the contractor is 4 days. The demand for clean towels at the hotel is normally distributed with a mean of 600 and a standard deviation of 50. Management has set the service level 90%. Find:

a) The Reorder point.

b) Safety stock.

Reference no: EM131877398

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