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Historically, demand has averaged 1447 units per week with a standard deviation of 715. The company currently has 2855 units in stock. What is the probability of a stockout?

Respuesta :

Tundexi

Answer:

c. 97.558%

Explanation:

Options are "A. 50.0.% B. 2.442% C. 97.558% D.197.0% E. 47,442%"

Mean = μ = 1447

Standard deviation = σ = 715

Observed value = X = 2855

Using z-score formula, Z = (X - μ) / σ

Z = (2855 - 1447) / 715

Z = 1.97

P(Z<1.97) = 0.97558

P(Z<1.97) = 97.558%

So,  the probability of a stock-out is 97.558%.

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