Using the information in Exhibit 12.2, what formula should go in cell B8 of the Confidence Intervals spreadsheet to compute the upper limit on a 95% confidence interval for the true population mean? Using the information in Exhibit 12.3, what Analytic Solver Platform function should be used for generating a random shipping time based on the Data spreadsheet distribution for shipping time? Using the information in Exhibit 12.3, what formula should go in cell C9 and copied to C10:C21 of the MODEL sheet to compute units received? Using the information in Exhibit 12.3, what Analytic Solver Platform function should be used in cell I8 to determine the lead time for an order? Using the information in Exhibit 12.3, what formula should go in cell H8 to determine if an order should be placed? Using the information in Exhibit 12.2, what formula should go in cell B12 of the Confidence Intervals spreadsheet to compute the upper limit on a 95% confidence interval for the population proportion below 90%? A part of the simulation statistics output from Risk Solver Platform (RSP)and a spreadsheet for computing confidence intervals follows. A spreadsheet model to simulate the problem has been run 300 times. The average repair bill has been increasing steadily over the years and the owner expects the mean repair bill will increase by 1% per month. The dollar value of the damage to the cars is a normally distributed random variable with a mean of $3,000 and a standard deviation of $500. He currently repairs 100 cars per month and feels the change in number of cars can vary uniformly between a decrease of as much as 3% and an increase of up to 5% (average change of 1%). He is interested in simulating the number of damaged cars and the amount of damage to the cars each month. The owner of Fix-a-dent Auto Repair wants to study the growth of his business using simulation. Using the information in Exhibit 12.3, what formula should go in cell H4 to determine the average lost sales? The average demand is 4.45 cases per day. The current level of on-hand inventory is 25 units and no orders are pending. The company has simulated 2 weeks of operation for their inventory system.
The following spreadsheets have been developed for this problem. An average service level of 99% is desired. Orders are placed at the beginning of the day and delivered at the beginning of the day so the oil is available on the arrival day. The company orders 30 cases whenever the inventory position falls below the reorder point of 15 cases. Customers can buy oil at any auto parts store so there are no backorders (the company loses the sale and profit). The company has collected data on the shipping time for oil and the daily demand for cases of oil. The following questions use the information below.Īn auto parts store wants to simulate its inventory system for engine oil.