Question

The daily demand of a cleaning product "A" , that is sold by itself (in Liters), follows a normal distribution with a mean of 85 L and a deviation of 10 L ;

a) Is the daily demand homogeneous? Justify.

b) What stock would be necessary to maintain daily in order to give a level of service with 90% of probability?

Answer 1

a) Is the daily demand homogeneous? Justify.

Yes because most of the parametric tests require that the assumption of normality be met. Normality means that the distribution of the test is normally distributed (or bell-shaped) with 0 mean, with 1 standard deviation and a symmetric bell-shaped curve.

b) What stock would be necessary to maintain daily in order to give a level of service with 90% of probability?

Z-score for 90% probability = 1.645

mean = 85

s = 10

1.645 = (X - 85)/10

X = 101.45

101.45 stock would be necessary to maintain daily in order to give a level of service with 90% of probability.