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labwork [276]
3 years ago
15

1. Weekly demand for smartphones at the Apple store is normally distributed with a mean =300 and a standard deviation of =200.

Foxconn, the assembler takes two weeks to supply an order from the Apple store. Apple is targeting CSL of 95% and monitors its inventory continuously.a. How much safety inventory of smartphones should Apple carry? b. What should its ROP be?
Business
1 answer:
Rus_ich [418]3 years ago
3 0

Answer:

(a) 464 units

(b) 1,064 units

Explanation:

Given that,

Mean, M = 300

Standard deviation, SD = 200

Targeting CSL = 95%

Z-value for the 0.95 = 1.645 (Obtained from the Z-tables)

Lead time, L = 2

Standard deviation during lead time = SD × √L

                                                            = 200 × √2

                                                            = 200 × 1.41

                                                            = 282

Safety stock = z × Standard deviation during lead time

                    = 1.645 × 282

                    = 463.89 or 464 units

ROP = (M × L) + Safety stock

        = (300 × 2) + 464

        = 600 + 464

        = 1,064 units

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+ For case b:

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+ For case c:

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+ For case d:

\sqrt[40]{1,100,000/32,275.63} -1 = 9.22%.

4 0
4 years ago
A small marketing group uses Google Display Ads to help deliver relevant advertising to people browsing the web. Which statement
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3 0
4 years ago
You are the financial manager of the Crossrail 1 project in London. The Board overseeing the project, acting on behalf of the UK
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Crossrail 1 project is about to start in London.

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8 0
3 years ago
In a free-market economy, a product which entails a positive externality will be: overproduced underproduced produced at the opt
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3 0
3 years ago
If the price of a $10,000 par Treasury bond is $10,275.00, the quote would be listed in the newspaper as ________.
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Answer:

Hence, the quote that should be listed in the newspaper is 102.024

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hence, the same is to be considered by taking all the information given in the question

7 0
3 years ago
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