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Nationwide Auld Falls Uses a Jelloul TeView Inventory Control System TO one of its stock items. The review interval is 10 weeks, and the lead time for receiving the materials ordered from its wholesaler is 44 weeks. Weekly demand is normally distributed, with a mean of 75 units and a standard deviation of 15 units. Refer to the standard normal table for z-values.
1. What is the average and the standard deviation of demand during the protection interval? The average demand during the protection interval is units. (Enter your response as an integer.) The standard deviation of demand is units.
2. If the firm desires 99 percent stockout protection, the target inventory level is units.
3. If 325 units were in stock at the time of a periodic review, units should be ordered.
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Mountain Man Brewing, a family owned business where Chris Prangel, the son of the president joins. Due to increase in the preference for light beer drinkers, Chris Prangel wants to introduce light beer version in Mountain Man. An analysis into the la..
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