How much safety inventory does the store carry

Assignment Help Operation Management

Reference no: EM13962256

Demand during lead time for HP printers at a Sam's Club store is normally distributed, with a mean of 500 and a standard deviation of 150. The store manager continuously monitors inventory and orders 1,000 printers when the inventory drops to 800 printers.

a) How much safety inventory does the store carry?

b) What services level does Sam's Club achieve as a result of this policy?

Reference no: EM13962256

Questions Cloud

What is the daily demand of this product : Viapy is a company that produces all kinds of major appliances. Suzan Curtis, the president of Viapy, is concerned about the production policy for the company's best selling refrigerator. What is the daily demand of this product? If the company were ..

What penalty is the company incurring per year : A food processor uses approximately 100,000 glass jars a year for fruit juice product. Annual holding cost is 40 cents per jar, and reordering cost is $128 per order. Because of storage limitations, a lot size of 4,000 jars has been used. What penalt..

Implement an extension to the system : Implement an extension to the system in part(i) in which several name/value pairs are passed from the server and displayed on the client interface.

Show that after the force is removed : A particle of mass ,m, is at rest at the end of a spring(force constant=k)hanging from a fixed support. At t=0 a constant downward forcd F is applied to the mass and acts for a time T. Show that after the force is removed, the displacement of the ..

How much safety inventory does the store carry : Demand during lead time for HP printers at a Sam's Club store is normally distributed, with a mean of 500 and a standard deviation of 150. The store manager continuously monitors inventory and orders 1,000 printers when the inventory drops to 800 pri..

Find the probability that at any given time : Spoke Weaving Corporation has eight weaving machines of the same kind and of the same age. The probability is .04 that any weaving machine will break down at any time. Find the probability that at any given time

Do you think that such ordinances violate the principles : Pit bulls, a breed of dog, were involved in several attacks on humans in recent years. Do you think that such ordinances violate the principles of due process set forth in the Constitution, or do they effectively balance the interests of all those ..

Strategy passes the three tests of a winning strategy : Elements of ebay's strategy have evolved in meaningful ways since the company's founding in 1995. After reviewing all the links at the company's investor relations site, which can be found at investor.ebayinc.com, prepare a one-to two-page report tha..

Determining the percentage of light bulbs : Suppose that the a certain brand of light bulbs has a mean life of 600 hours and a standard deviation of 53 hours. Using this information, what percentage of light bulbs will last between 547 and 706 hours.

User Account

All Pages