Adding 15 Standard Deviations of Safety Stock to the Average Demand

question 109

Multiple Choice

Adding 1.5 standard deviations of safety stock to the average demand during lead time will result in a service level of approximately:

• A) 68.4%
• B) 84.1%
• C) 93.3%
• D) 97.7%

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Definitions:

Plasma Membrane

The phospholipid bilayer that surrounds cells, controlling the movement of substances in and out of the cell, thereby maintaining its internal environment.

Actively Transports

The process of transporting materials through cellular barriers against the direction of concentration differences, necessitating the use of energy.

Active Transport

The migration of molecules from a lower concentration zone to a higher concentration zone across a cell's membrane, an action that requires energy.

Concentration Gradient

The gradual difference in the concentration of solutes in a solution between two regions, often leading to the movement of molecules along the gradient during diffusion.