Fixed Interval Inventory problems 1. A dry cleaner uses an average of 40 gallons of cleaning solvent per day with a daily standard deviation of 4 gallons. Using a continuous review system with an interval of 30 days and a lead time of 6 days, the manager wants to maintain a service level of 0.80. a) What is the expected usage during the order interval and lead time (T+L) ? b) How much safety stock is required in this periodic order model? c) If the on-hand inventory at time to order is 20 gallons, how much should be ordered? 2. Lakeside Dining Commons uses an average of 2000 plastic utensil sets per day. They order utensils every Monday and get them on Fridays and are open five days a week. The standard deviation of daily usage is 150 utensil sets. a) What value should be used for T in a fixed order interval calculation? b) What value should be used for L in a fixed order interval calculation? c) If a 50% service level is deemed satisfactory (because we do have metal utensil we could wash...), how much safety stock is required? d) For a 90% service level, with a current inventory level of 500 utensil sets, how many should be ordered