Based on available information, lead time demand for PC jump drives averages 48 units (normally distributed), with a standard deviation of 5 drives. Management wants a 98% service level. Refer to the standard normal table for z-values. a) What value of Z should be applied? 2.06 b) How many drives should be carried as safety stock? your response to the nearest whole number). units (round

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### Z-Table

The table provided is a Z-Table, which is used in statistics to determine the probability that a statistic is observed below, above, or between values on the standard normal distribution. The table shows different Z-values alongside their corresponding cumulative probabilities (Pr(Z)).

#### Table Structure:

- **Columns:**
  - **Z**: This column represents the Z-scores, which are statistical measures that describe a value's position relative to the mean of a group of values, measured in terms of standard deviations.
  - **Pr(Z)**: This column lists the cumulative probability in percentage form associated with each Z-score.

#### Detailed Table Data:

- For a Z-score of 0.38, the cumulative probability is 65%.
- For a Z-score of 0.50, the cumulative probability is 69%.
- For a Z-score of 0.67, the cumulative probability is 75%.
- For a Z-score of 0.84, the cumulative probability is 80%.
- For a Z-score of 1.04, the cumulative probability is 85%.
- For a Z-score of 1.28, the cumulative probability is 90%.
- For a Z-score of 1.41, the cumulative probability is 92%.
- For a Z-score of 1.56, the cumulative probability is 94%.
- For a Z-score of 1.65, the cumulative probability is 95%.
- For a Z-score of 1.75, the cumulative probability is 96%.
- For a Z-score of 2.06, the cumulative probability is 98%.
- For a Z-score of 2.33, the cumulative probability is 99%.

This table aids in understanding how data points relate to the normal distribution, facilitating statistical analysis and hypothesis testing.
Transcribed Image Text:### Z-Table The table provided is a Z-Table, which is used in statistics to determine the probability that a statistic is observed below, above, or between values on the standard normal distribution. The table shows different Z-values alongside their corresponding cumulative probabilities (Pr(Z)). #### Table Structure: - **Columns:** - **Z**: This column represents the Z-scores, which are statistical measures that describe a value's position relative to the mean of a group of values, measured in terms of standard deviations. - **Pr(Z)**: This column lists the cumulative probability in percentage form associated with each Z-score. #### Detailed Table Data: - For a Z-score of 0.38, the cumulative probability is 65%. - For a Z-score of 0.50, the cumulative probability is 69%. - For a Z-score of 0.67, the cumulative probability is 75%. - For a Z-score of 0.84, the cumulative probability is 80%. - For a Z-score of 1.04, the cumulative probability is 85%. - For a Z-score of 1.28, the cumulative probability is 90%. - For a Z-score of 1.41, the cumulative probability is 92%. - For a Z-score of 1.56, the cumulative probability is 94%. - For a Z-score of 1.65, the cumulative probability is 95%. - For a Z-score of 1.75, the cumulative probability is 96%. - For a Z-score of 2.06, the cumulative probability is 98%. - For a Z-score of 2.33, the cumulative probability is 99%. This table aids in understanding how data points relate to the normal distribution, facilitating statistical analysis and hypothesis testing.
Based on available information, lead time demand for PC jump drives averages 48 units (normally distributed), with a standard deviation of 5 drives. Management wants a 98% service level. Refer to the standard normal table for z-values.

a) What value of Z should be applied?  2.06

b) How many drives should be carried as safety stock? ___ units (round your response to the nearest whole number).
Transcribed Image Text:Based on available information, lead time demand for PC jump drives averages 48 units (normally distributed), with a standard deviation of 5 drives. Management wants a 98% service level. Refer to the standard normal table for z-values. a) What value of Z should be applied? 2.06 b) How many drives should be carried as safety stock? ___ units (round your response to the nearest whole number).
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