Which of the following is the standard deviation of demand, Ask an Expert

Management Studies

You would like to use the fixed-time period inventory model to compute the desired order quantity for a company. You know that vendor lead time is 5 days and the number of days between reviews is 7. Which of the following is the standard deviation of demand over the review and lead time if the standard deviation of daily demand is 8?

(a) About 27.7
(b) About 32.8
(c) About 35.8
(d) About 39.9
(e) About 45.0

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Operation Management, Management Studies

Category:- Operation Management
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