Regional Supermarket is open 360 days per year. Daily use of cash register tape averages 19 rolls. Usage appears normally distributed with a standard deviation of 3 rolls per day. The cost of ordering tape is $.75, and carrying costs are 43 cents per roll a year. Lead time is 3 days. a. What is the EOQ?b. What ROP will provide a lead time service level of 96 percent?c. What is the expected number of units short per cycle with 96 percent? Per year?d. What is the annual service level?
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Regional Supermarket is open 360 days per year. Daily use of cash register tape averages 19 rolls. U...
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