Consider a potential warehouse whose independent weekly demand follows a normal distribution with a mean of 15,000 and a standard deviation of 3,000. Inventory is replenished every 4 weeks. Annual inventory holding cost = $50/unit and CSL = 95%. There are two potential warehouse sites whose data are given below. In the table x means capacity of the warehouse. Sites Operating Cost Outbound Cost San Francisco $500,000 + 2x Los Angeles $400,000 + 2x $0.60 $0.45 Inbound Rail Highway Rail Highway Lead Time (week) Cost 3 1 3 1 $0.40 $1.00 $0.40 $1.00 a) (10 marks) Calculate the safety stock required at each potential warehouse and transport mode. b) (50 marks) Write a model that minimizes the sum of warehouse operating cost, transportation cost, and inventory holding cost. Both sites may be selected but a single transport mode has to be selected. Note that demand is a random variable. Make Ekran Resmi hd using 2 standard deviations.