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A Particular Brand of Soap Has a Lead Time of Three

Question 3

Multiple Choice

A particular brand of soap has a lead time of three weeks to reorder,a weekly standard deviation of 10 units,and a weekly average usage of 30 units.The reorder point for this soap,assuming a 95% service level (z = 1.645) ,is


A) 16.45 units.
B) 28.50 units.
C) 106.45 units.
D) 118.49 units.

Correct Answer:

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