Don's Hardware uses a Periodic Order System to place once monthly orders for the majority of the products he sells in his store. One product using this system is the 32 oz Roundup Concentrated Weed and Grass Killer - a product that is extremely popular in the residential areas that Don serves. Don closely tracks the demand of all products sold in his hardware store and knows that 32oz Roundup Concentrate follows a normal distribution of demand that has a mean of 375 bottles with a standard deviation of 100. This month, prior to placing the order, Don had 72 bottles in stock. Using a periodic ordering method, how many bottles of the 32 oz Concentrate should Don order? To answer this question assume that for this product Don wants be be in stock at least 90% of the time. A) 509 B) 432 C) 581 D) 504 E) 375
Don's Hardware uses a Periodic Order System to place once monthly orders for the majority of the products he sells in his store. One product using this system is the 32 oz Roundup Concentrated Weed and Grass Killer - a product that is extremely popular in the residential areas that Don serves. Don closely tracks the demand of all products sold in his hardware store and knows that 32oz Roundup Concentrate follows a normal distribution of demand that has a mean of 375 bottles with a standard deviation of 100. This month, prior to placing the order, Don had 72 bottles in stock. Using a periodic ordering method, how many bottles of the 32 oz Concentrate should Don order? To answer this question assume that for this product Don wants be be in stock at least 90% of the time. A) 509 B) 432 C) 581 D) 504 E) 375
Don's Hardware uses a Periodic Order System to place once monthly orders for the majority of the products he sells in his store. One product using this system is the 32 oz Roundup Concentrated Weed and Grass Killer - a product that is extremely popular in the residential areas that Don serves. Don closely tracks the demand of all products sold in his hardware store and knows that 32oz Roundup Concentrate follows a normal distribution of demand that has a mean of 375 bottles with a standard deviation of 100. This month, prior to placing the order, Don had 72 bottles in stock. Using a periodic ordering method, how many bottles of the 32 oz Concentrate should Don order? To answer this question assume that for this product Don wants be be in stock at least 90% of the time. A) 509 B) 432 C) 581 D) 504 E) 375
Don's Hardware uses a Periodic Order System to place once monthly orders for the majority of the products he sells in his store. One product using this system is the 32 oz Roundup Concentrated Weed and Grass Killer - a product that is extremely popular in the residential areas that Don serves. Don closely tracks the demand of all products sold in his hardware store and knows that 32oz Roundup Concentrate follows a normal distribution of demand that has a mean of 375 bottles with a standard deviation of 100. This month, prior to placing the order, Don had 72 bottles in stock. Using a periodic ordering method, how many bottles of the 32 oz Concentrate should Don order? To answer this question assume that for this product Don wants be be in stock at least 90% of the time. A) 509 B) 432 C) 581 D) 504 E) 375
Features Features Normal distribution is characterized by two parameters, mean (µ) and standard deviation (σ). When graphed, the mean represents the center of the bell curve and the graph is perfectly symmetric about the center. The mean, median, and mode are all equal for a normal distribution. The standard deviation measures the data's spread from the center. The higher the standard deviation, the more the data is spread out and the flatter the bell curve looks. Variance is another commonly used measure of the spread of the distribution and is equal to the square of the standard deviation.
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