Question: begin{tabular}{llcl} Average demand & D & 741 & units/month Std. deviation of demand & sD & 62 & units/month Average lead time &

 \begin{tabular}{llcl} Average demand & D & 741 & units/month \\ Std.
deviation of demand & sD & 62 & units/month \\ Average lead
time & L & 2 & months \\ Std. deviation of lead

\begin{tabular}{llcl} Average demand & D & 741 & units/month \\ Std. deviation of demand & sD & 62 & units/month \\ Average lead time & L & 2 & months \\ Std. deviation of lead times & sL & 0.5 & month \\ Order placement costs & K & $259 per order \\ Holding cost & h & $16 per unit per month \\ Stockout cost & p & $29 per unit \\ \hline In-stock rate & F(R) & 97% \\ Standard normal variate & Z & 1.88 \\ Expected units out of stock during the lead time & n(R) & 83 units per cycle \end{tabular} What should the optimal order quantity, be? 155 units 1482 units 497 units 381 units What should reorder point be? 1482 units 2198 units 716 units 8257 units

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