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A supermarket is open 360 days per year. Daily use of cash register tape averages 10 rolls, Normally distributed,
with a standard deviation of two rolls per day. The cost of ordering tape is $10 per order, and holding cost is 40
cents per roll a year. Lead time is three days. Refer: z-values table.
a. What is the EOQ? (Round the final answer to the nearest whole number.)
EOQ
b. What ROP will provide a lead time service level of 96 percent? (Round the final answer to the nearest
whole number.)
ROP



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