Standard deviation of leadtime is 1 day what is the reorder


Given the following information:

  • Expected demand is 200 units per day
  • Leadtime is 5 days
  • Standard deviation of demand is 10 units
  • Standard deviation of leadtime is 1 day

What is the reorder point if the expected service level is 95% (z=2)?

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Business Management: Standard deviation of leadtime is 1 day what is the reorder
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