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Given this information:
Lead-time demand = 600 pounds
Standard deviation of lead-time demand = 52 pounds (Assume normality.)
Acceptable stockout risk during lead time = 4 percent
a. What amount of safety stock is appropriate? b. When should this item be reordered?
Note: All illegible answers will be marked incorrect, so please write legibly. If you type and submit the print out of your homework (not email), you will receive 5 points extra cr
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Explain Discounts allowed.
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