consider an item under $($s$,$Q$)$ control. Basic item information is as follows: D$=40000$units$/$year; A$=$$$20$; r$=0\mathrm{.}25$ $$/$$year; and v$=$$$1\mathrm{.}6/$unit$.$ All demand when out of stock is back ordered. the EOQ is used to establish the Q value. A service level of $0\mathrm{.}95($demand satisfied without backorder$)$ is desired. the item's demand is somewhat difficult to predict and two forecasting procedures are possible. System: A complex, cost to operate per year$($$$/$Year$)$:$200,$ stardand derivative L$($units$)$:$1000,$ System: B simple, cost to operate per year$($$$/$Year$)$:$35,$ stardand derivative L$($units$)$:$2300.$ Which forecasting system should be used? Discus. Note: Forecast errors can be assumed to be normally distributed with zero bias for both models