Question: 1 . You would like to develop an inventory ordering policy of a 9 5 % probability of not stocking out. Demand for the products

1. You would like to develop an inventory ordering policy of a 95% probability of not stocking out. Demand for the products is 5000 unit per year. Your store opens 365 days a year. Every two weeks (14 days) inventory is counted and a new order is placed. It takes 10 days for the products to be delivered. Standard deviation of demand is 5 per day. You have 150 units on hand right now. How many should you order for this review period?

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