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batuayan batuayan
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6 years ago
Ruby owns a small cafe and uses a linen supplier for her tablecloths. Whenever she needs more tablecloths, she calls the supplier. She uses an average of 12 tablecloths a day with a standard deviation of 3 tablecloths. Lead time is a constant 2 days.
 
  If Ruby is willing to accept a 5 stockout risk, what is the reorder point, rounded to the nearest tablecloth? Assume demand is normally distributed.
  A) 28
  B) 31
  C) 34
  D) 42
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rcollins105rcollins105
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6 years ago
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batuayan Author
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6 years ago
Thank you, thank you, thank you!
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Smart ... Thanks!
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