An electric appliances category manager in carrefour it is your responsibility to ensure right level

Question: An electric appliances category manager in carrefour it is your responsibility to ensure right level of inventories in the store. You decide to test one items use a multiperiod inventory system and have the following data. You would like to maintain a service level of 99 percent (assume a z-score of 2.32) assume the demand occurs 365 days per year. DeterAn electric appliances category manager in carrefour it is your responsibility to ensure right level of inventories in the store. You decide to test one items use a multiperiod inventory system and have the following data. You would like to maintain a service level of 99 percent (assume a z-score of 2.32) assume the demand occurs 365 days per year. Deter mine the order quantity and reorder point:

Cost of refrigerator
1700 aed
Annual holding cost
15% of the cost
Ordering cost
250aed/order
Demand
250/year
Standard deviation of yearly demand
5%
Delivery lead time
3days
EOQ= (2*D*S/H)^0.5 EOQ=(2*250*250/(0.15…View the full answer