Final answer:
The demand during lead time is not specified other than being normally distributed with a mean of 36 TVs and a standard deviation of 11 TVs.
Step-by-step explanation:
In the context of inventory management, the demand during lead time for a brand of TV follows a normal distribution with a mean (μ) of 36 TVs and a standard deviation (σ) of 11 TVs. The mean (μ) represents the average demand expected during the lead time, while the standard deviation (σ) quantifies the variability or dispersion around this average.
These parameters are crucial for understanding the characteristics of the normal distribution, allowing businesses to make informed decisions regarding inventory levels and order quantities. With a mean of 36 TVs, companies can estimate the typical demand during the lead time, while the standard deviation of 11 TVs provides insights into the range of potential demand values and the likelihood of deviation from the mean. These statistical measures help in setting appropriate safety stock levels and optimizing inventory management strategies to meet customer demand effectively while minimizing the risk of stockouts during the lead time.