help please, just need help with C and D Calculate the safety stock and reorder point for SKU J102, assuming its daily demand is constant at 30units per day, lead time is normally with a mean of 6 days and standard deviation of 3 days and must operate at a 95%service level.d.Calculate the safety stock and reorder point for SKU J104 assuming its daily demand is normally distributedwith a mean of 20 units and a standard deviation of 4 days. The lead time is also normally distributed with a mean of8 days, standard deviation of 4 days and a service level of 90% is required. Problem #2 - Jasper Inc. has four different air conditioning SKUS: J101, J102, J103 and J104. The following four questionsrequires you to provide recommendation to their approach for safety stock and reorder point for these SKUS.a.SKU J101 has a demand that is normally distributed during the lead time, with a mean of 500 units andstandard deviation of 10. If Jasper cannot have stockouts in more than 5% of the time in any order, how much safetystock should be maintained and at what reorder point?b.Calculate the safety stock and reorder point for SKU J102, assuming that its daily demand is normallydistributed with a mean of 25, standard deviation of 5, lead time is 5 days, and must operate at 90% service level.C.Calculate the safety stock and reorder point for SKU J102, assuming its daily demand is constant at 30units per day, lead time is normally with a mean of 6 days and standard deviation of 3 days and must operate at a 95%service level.

Safety stock refers to the level of stock that needs to be maintained by an organization to avoid…

Answered: d. Calculate the safety stock and…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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In many respects, the food inventory decision for eachCelebrity cruise matches the single-period inventory modeldescribed in this chapter. Consider the decision about chicken.Suppose that Celebrity purchases chicken in bulk for $0.80 perpound, and any chicken left over after a cruise is donated tolocal food banks. Management estimates that a shortage penaltyof $1.00 per pound is incurred due to lost customer goodwillfrom unsatisfied demand. If chicken demand for a 7-daycruise is normally distributed with a mean of 3,000 pounds anda standard deviation of 200 pounds, how many pounds shouldbe brought onto the ship?
what is the optimal reorder point R? what is the optiman order quantity q?
Only typed explanation otherwise leave it Suzie’s Sweetshop makes special boxes of Valentine’s Day chocolates. Each cost $10 in material and labor and sells for $15. After Valentine’s Day, Suzie reduces the price to $9.00 and sells any remaining boxes. Suppose the demand is normally distribute with a mean of 75 and a standard deviation of 8. How many special boxes should Suzie make or what is the optimal order quantity for this special one-time event?
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PM Computers assembles personal computers from generic components. It purchases its color monitors from a manufacturer in Taiwan; thus, there is a long and uncertain lead time for receiving orders. Lead time is normally distributed, with a mean of 25 days and a standard deviation of 10 days. Daily demand is also normally distributed, with a mean of 2.5 monitors and a standard deviation of 1.2 monitors. Determine the safety stock and reorder point corresponding to a 90% service level.
The Great North Supermarket stocks Munchkin Cookies. Demand for Munchkins is 5000 boxes per year (365 days). It costs the store $60 per order of Munchkins, and it costs $0.70 per box per year to keep the cookies in stock. Once an order for Munchkins is placed, it takes four days to reveive the order from a food distributor. Determine the following: a. Optimal order size (EOQ) b.Minimum total annual inventoy cost c. Reorder point (R) d. Number of orders e. Time between orders
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