The demand for an electronic component is normally, Operation Management

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The demand for an electronic component is normally

The demand for an electronic component is normally distributed with an average daily demand of 500 units and a standard deviation of 50. The lead time for the component is 9 days. If a service level of 95% is desired, then the company’s safety stock for this component is approximately

a. 150 units. b. 247 units. c. 336 units. d. 740 units

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