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Question 29 3 pts Annual demand for an item is 13,000 units with the cost per unit at $243. The holding rate is 10% and the o

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Answer #1

Answer would be 8

Please find below table useful to compute desired results: -

A B 1 Annual Demand for an item 13000 Formula Used: - 2 Number of days in a year 260 3 Lead Time 4 Standard Deviation of dail

End results would be as follows: -

А 1 Annual Demand for an item 2 Number of days in a year 3 Lead Time 4 Standard Deviation of daily demand 5 Average Daily Dem

Therefore the required Safety Stock would be 8. (after rounding off)

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