A French restaurant’s daily demand for pinot noir wine is normally distributed with a mean of 20 bottles and a standard deviation of 3 bottles. The restaurant manager checks its supply every 15 days. The lead time for wine is 5 days and is reasonably constant. A recent periodic review at the restaurant revealed there were 30 pinot noir bottles in stock. The restaurant manager wants to limit his stock-out risk to 3%:

1. What should the target inventory level be?

2. What is the order quantity?