A pet daycare center uses a significant amount of canned dog
food, which is ordered monthly. When considering the March 1 order,
the table below would be useful because it shows the forecasted
demand for the upcoming months. The forecast CV is 25%. The lead
time for receiving the food is four months. The target cycle
service level is 96%. Current inventory is 1158 cans, and there are
7340 cans in transit. Calculate the order up to level (OUL) and
order quantity for the March order. Show all work.
Month Forecast (cans)
Mar 2000
Apr 1500
May 1000
June 500
July 500
Aug 1000
Sep 1500
Oct 2000
Nov 2000
Dec 2000
order quantity we are getting negative i
think the value of cans in transit value is wrong
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