A warehouse manager needs to simulate the demand placed on a product that does not fit standard models. The concept being measured is "demand during lead time," where both lead time and daily demand are variable
The historical record for this product suggests the following probability distribution. Convert this distribution into random number intervals.
Demand during lead time Probability
100 .02
120 .15
140 .25
160 .15
180 .13
200 .30
Demand during lead time Probability Cumulative probability Random number intervals
100 .02 .02 01-02
120 .15 .17 03-17
140 .25 .42 18-42
160 .15 .57 43-57
180 .13 .70 58-70
200 .30 1.00 71-00
Business
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