Consider a periodic review​ system, where orders are placed every 22 days. The firm strives to provide a 94.63​% cycle service level. Demand averages 410 units per​ day, and the standard deviation of demand per day is 106 units. Lead time is 9 days​ (round Z-values, standard deviations to two decimal​ places).
A. How many units of safety stock should be​ held?


B. What should the target inventory level​ (order-up-to level)​ be?

C. Suppose that it is time to review the item. There are 170 units in​ inventory, and there is an outstanding backorder for 470 units. An order for 122 units is on the way. How many units should be ordered​ now?

enter your response here units​ (round your response to the nearest​ integer).



Answer :