Question: Clearly state your defined variables and equations. A gas station is deciding how much gas they should order. Demand follows a normal distribution with an

Clearly state your defined variables and equations.

A gas station is deciding how much gas they should order. Demand follows a normal distribution with an average demand of 10,000 gallons per week and a standard deviation of 300 gallons per week. The lead time for the gas truck to arrive is 3 days and does not vary. This gas station would like to have gas for their customers 99% of the time. Each gallon of gas costs $3 Every order has a fee of $20 Holding costs are 20% the cost of inventory Running out of gas costs $10 per gallon short due to significant customer dissatisfaction and bad press A. What should the reorder point level be to achieve the desired service level? B. At this service level, how many gallons of gas is this gas station expecting to be short per year? C. What is the total annual cost of inventory for the year

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