How many bags should they order if today is order day

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Reference no: EM132155318

Dogtopia, a doggy day care, uses small trash bags at an average rate of 15 units each of the 290 days that it's open each year, with a standard deviation of 2.0 bags per day. There is a flat order fee of $16 per order and carrying costs are 35 cents per bag per year. Lead time is 6 days. If they place an order every 22 work days, would like to ensure that they have bags 97.5% of the time, and have 72 bags in stock, how many bags should they order if today is order day?

Reference no: EM132155318

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