Suncar distributes parts for american cars in belgium, Ask an Expert

Management Studies

SunCar distributes parts for American cars in Belgium. Batteries are a commonly requested item. The lead time to obtain car batteries is two months and the average demand is 100 per month. Lead time demand is normally distributed with a standard deviation of 10 units. Order cost is $75 and holding cost is $10 per year per battery.

The safety stock necessary to maintain a 95% service level is closest to

The reorder point including safety stock is closest to

223

100

123

The total inventory cost including safety stock is closest to

$1570

$ 178

$ 900

$1340

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M93065377

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