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What rop will provide a lead time service

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Regional supermarket is open 360 days per year. Daily use of cash register tap average s 10 rolls. Usage appear normally distributed with a standard deviation of 2 rolls per day. The cost of ordering tape is $ 1 , and carrying costs are 40 cents per roll a year. Lead time is Three days.

a) What is the EOQ

b) What ROP will provide a lead time service level of 96 percent?

c) What is the expected number of units short per cycle with 96 percent ? Per year ?

d) What is the annual service ?

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Reference no: EM131881651

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