Chez Paul Restaurant Orders Special Styrofoam "Doggy Bags" for Its

question 11

Essay

Chez Paul Restaurant orders special Styrofoam "doggy bags" for its customers once a month,and lead time is one week.Weekly demand for doggy bags is approximately normally distributed with an average of 120 bags and a standard deviation of 25.Chez Paul wants at most a 3% chance of running out of doggy bags during the replenishment period.If he has 150 bags in stock when he places an order,how many additional bags should he order? What is the safety stock in this case?

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Definitions:

Domain

A distinct subset of the internet with a unique address that can host a website, or the sphere of knowledge or activity.

Allowance

A sum of money allotted regularly, often for a specific purpose, or the act of permitting something.

Lease

In real property law, a contract by which the owner of real property, the landlord, grants to a person, the tenant, an exclusive right to use and possess the property, usually for a specified period of time, in return for rent or some other form of payment.

Eminent Domain

The right of a government to expropriate private property for public use, with compensation.