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Your boss wants to set safety stock levels correctly to ensure an 87.9% service level. She needs your answer right away. What should the safety stock level be given that you know: Average replenishment
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Your boss wants to set safety stock levels correctly to ensure an 87.9% service level. She needs your answer right away. What should the safety stock level be given that you know:

Average replenishment cycle is 10 days
Standard deviation of daily demand is 12 units
Average daily demand is 100 units
Standard deviation of the replenishment cycle is 3 days
a. 57 units
b. 188 units
c. 302 units
d. 354 units
e. 1,000 units

User Aguynamedloren
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1 Answer

14 votes
14 votes
D 188 units is correct answer 87.9%
User Lance Harper
by
2.9k points
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