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Judith Thompson, the manager of the student center cafeteria, has added pizza to

Judith Thompson, the manager of the student center cafeteria, has added pizza to

Judith Thompson, the manager of the student center cafeteria, has added pizza to the menu. The pizza is ordered frozen from a local pizza establishment and baked at the cafeteria. Judith anticipates that weekly demand will be normally distributed with a mean weekly demand of 100 pizzas and standard distribution of 5 pizzas. The cafeteria is open 45 weeks a year, 5 days a week. The ordering cost if $15 and the holding cost is $0.40 per pizza per year. The pizza vendor has indicated that the lead-time for supply deliveries is normally distributed with a mean lead-time of 4 days and a standard deviation of 1 day. Judith wants to maintain safety stock based upon a 95% level of service. What is the optimal reorder point (round to nearest unit)?A. 88B. 117C. 54D. 0E. None of the aboveJudith Thompson, the manager of the student center cafeteria, has added pizza to the menu. The pizza is ordered frozen from a local pizza establishment and baked at the cafeteria. Judith anticipates that weekly demand will be normally distributed with a mean weekly demand of 100 pizzas and standard distribution of 5 pizzas. The cafeteria is open 45 weeks a year, 5 days a week. The ordering cost if $15 and the holding cost is $0.40 per pizza per year. The pizza vendor has indicated that the lead-time for supply deliveries is normally distributed with a mean lead-time of 4 days and a standard deviation of 1 day. Judith wants to maintain safety stock based upon a 95% level of service. What is the optimal reorder point (round to nearest unit)?A. 88B. 117C. 54D. 0E. None of the above

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