G Chairish-Is-The Word, Inc., manufactures top-end hardwood chairs that are sold through a variety of retail outlets. The most popular model sells (wholesale) for $400 per chair and costs $300 to make. Past data show that average monthly demand is 1,000 chairs with a standard deviation of 200 chairs and that the normal distribution is a reasonable fit. CITW uses a 20 percent annual interest charge to estimate inventory carrying costs, so that the cost to carry one chair in stock for 1 month is $300(0.20)/12 = $5.

If all orders are backlogged and the cost of lost customer goodwill from carrying a single chair on backorder is $20, what order-up-to (base stock) level should CITW use?

Step-by-step explanation:

If all orders are backlogged and the cost of lost customer goodwill from carrying a single chair on backorder is $20, what order-up-to (base stock) level should CITW use?

Company has mean demand = 1000

Standard deviation = 200 chairs

95% service level, Z=1.64 ⇒ 1000 - 1.64 * 200  = 1000 – 328 =672 chairs.

The order up to base model is 672 chairs.

i think it would be 43 movies that would have to be watched.

step-by-step explanation:

think about it. for the second plan, every month is 8 dollars. 8 x 12= 96. so thats the number for the second plan. now for the first plan, its annual meaning you have to pay 10 dollars every year. so now you have to get an equivalent amount of 86 since 96-10=86. 86 divided by 2 since every movie costs 2$ then you would have to watch 43 movies a year to get the same as the second plan. i really hoped this . have a wonderful day as well!

i think 5 miles per hour

step-by-step explanation: