Hard rock hotel distributes a mean of 800 bath towels per, Ask an Expert

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Hard rock hotel distributes a mean of 800 bath towels per day to guests st the pool and in their rooms. This demand is normally distributed with standard deviation of 95 towels per day based on occupancy. Laundry firm that has the linen contract requires 3 day lead time. Hotel expects 98% service level to satisfy expectations. Refer to standard normal table for Z values.

A. What is reorder point.

B. What is safety stock.

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92454532

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