Mathematics, 05.05.2020 20:17 sebascarvallo2003
Jimmy’s Delicatessen sells large tins of Tom Tucker’s Toffee. The deli uses a periodic review system, checking inventory levels every 10 days, at which time an order is placed for more tins. Order lead time is 3 days. Average daily demand is 7 tins, so average demand during the reorder period and order lead time (13 days) is 91 tins. The standard deviation of demand during this same 13- day period is 17 tins. Calculate the restocking level. Assume the desired service level is 90% percent.
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