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vodomira [7]
3 years ago
6

If demand for an inventory item is normally distributed with a mean of 150 units per day and standard deviation of 2 units/day,

lead time is normally distributed with an average of 4 days and standard deviation of 0.5, and service level is 95% (z=1.65) , at what point should it be reordered?
128

328

548

748

850
Mathematics
1 answer:
Liula [17]3 years ago
8 0

Answer:

ROP (xy) = 724 units to be recorded

Step-by-step explanation:

Given:-

- Demand for an inventory item(x) is normally distributed with :

                       mean ux = 150 units/day

                       standard deviation sx = 2 units/day

- lead time(y) is normally distributed with:

                       mean uy = 4 days

                       standard deviation sy = 0.5 days

- Service level is 95% (zs=1.65):

Find:-

at what point should it be reordered?

Solution:-

- We will deonte (xy) the number of units to be serviced to be normally distributed with mean and standard deviation:

                       uxy = ux*uy = 150*4 = 600 units

                       sxy = √[(uy*sx^2) + ux^2*sy^2 ]

                              =√[(4*2^2) + 150^2*0.5^2 ]

                              = 75.10659

- At the service level of 95% the confidence interval would be:

                       ROP (xy) = uxy + zs*sxy )

                       ROP (xy) = 600 + 1.65*75.10659

                       ROP (xy) = 724 units to be recorded      

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Answer:

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It is provided that initially Chase had 171 mg of caffeine, 1.39 hours after consuming the drink.

Compute the amount of caffeine in Chase's body 2.39 hours after consuming the drink as follows:

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