Drugstore

A drugstore uses fixed-order cycles for many of the items it stocks. The manager wants a service level of .98. The order interval is 13 days, and lead time is 3 days. Average demand for one item is 66 units per day, and the standard deviation of demand is 12 units per day. Given the on-hand inventory at the reorder time for each order cycle shown in the following table. |
| Use Table. |
| Cycle | On Hand |
| 1 | 38 |
| 2 | 13 |
| 3 | 110 |
Determine the order quantities for cycles 1, 2, and 3: (Round your answers to the nearest whole number) |
| Cycle | Units |
| 1 | [removed] |
| 2 | [removed] |
| 3 | [removed] |
11 years ago
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