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Turkey inventory levels

Question

Thanksgiving Inc. sells an average of 200 turkeys weekly, with a standard deviation of 25 (assume a normal

distribution). Turkey inventory levels are reviewed every four weeks and it takes two weeks to receive a shipment. Assume Thanksgiving Inc. reviews their inventory two weeks before the Thanksgiving and finds 150 turkeys on hand. Thanksgiving Inc. uses a service level of 95% (z=1.645). How many turkeys should Thanksgiving Inc. order?

1132

1151

1301

1296

1282

 
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