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    Inventory management

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    Linda Lechner is in charge of maintaining hospital supplies at General Hospital. During the past year the mean lead time demand for bandage BX-5 was 60. Furthermore, the standard deviation for BX-5 was 7. Linda would like to maintain a 90% service level. What safety stock level given the statistics?

    A. 1
    B. 9
    C. 150
    D. 13

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    Solution Preview


    Please see response to your question as shown below.

    Mean demand during lead time = 60
    Standard deviation of demand during lead time = ...

    Solution Summary

    Solution contains calculation of safety stock.