What would be the order quantity

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Reference no: EM132159334

Demand for walnut fudge ice cream at the Sweet Cream Dairy can be approximated by a normal distribution with a mean of 21 gallons per week and a standard deviation of 3.5 gallons per week. The new manager desires a service level of 90 percent. Lead time is two days, and the dairy is open seven days a week. The ordering cost is $10 per order and the inventory holding cost is $1 per gallon per week for the ice cream. If an ROP model is used, what would be the order quantity? Round your answer to the nearest whole number.

Reference no: EM132159334

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