Mr. john estes oversees the distribution of tastee snacks, Ask an Expert

Management Studies

Mr. John Estes oversees the distribution of Tastee Snacks products from the plant warehouse to its two distribution centers in the United States. The plant warehouse currently has 42,000 units of the company's most popular product, Chocolate Chewies. Mr. Estes retains 7,000 units of the product at the warehouse as a buffer. The Cincinnati DC has an inventory of 12,500 units and daily requirements of 2,500 units. The Phoenix DC has an inventory of 6,000 units and daily requirements of 2,000 units.
a. Determine the common days' supply of Chocolate Chewies at each DC.
b. Given the above information and your answer to part (a), use fair-share-allocation logic to determine the number of Chocolate Chewies to be allocated to each DC.

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