Service probability is desired

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Daily demand for a product is 60 units with a standard deviation of 10 units. The review period is 10 days, and the lead-time is 3 days. At the time of review there are 100 units in stock.

If 95 percent service probability is desired, how many units should be ordered?

If 50% service probability is desired, how many units should be ordered?

Reference no: EM131124603

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