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Table 5.85.8 Demand =52,000= 52,000 Units/year
Standard Deviation of Weekly Demand =110= 110

question 44

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Table 5.85.8
Demand =52,000= 52,000 units/year
Standard deviation of weekly demand =110= 110 units
Ordering costs =$45= \$ 45 /order
Holding costs =$0.50/= \$ 0.50 / unit/year
Cycle-service level =90%= 90 \%
Lead time =2= 2 weeks
Number of weeks per year =52= 52 weeks
You will need to refer to a normal table to answer the question(s) .
-Use the information in Table 5.8. If the firm changed to a continuous review system, what would be the reorder point?


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