A Warehouse Manager Needs to Simulate the Demand Placed on a Product

question 65

Essay

A warehouse manager needs to simulate the demand placed on a product that does not fit standard models. The concept being measured is "demand during lead time," where both lead time and daily demand are variable. The historical record for this product suggests the following probability distribution. Convert this distribution into random number intervals.
$$\begin{array} { | c | c | } \hline \text { Demand during lead time } & \text { Probability } \\\hline 100 & .02 \\\hline 120 & .15 \\\hline 140 & .25 \\\hline 160 & .15 \\\hline 180 & .13 \\\hline 200 & .30 \\\hline\end{array}$$

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Definitions:

Car Salesman

A person who sells new or used vehicles at a dealership.

Margins

The difference between the selling price of a good or service and its cost of production, often expressed as a percentage of the selling price, indicative of profitability.

Company Owned Store

A retail establishment directly controlled and operated by the corporation that owns the brand, as opposed to a franchise.

Manager

An individual responsible for controlling or administering all or part of a company or similar organization.