Question: If demand was constant at 7 0 units / week with a standard deviation of 5 units and a lead time of 4 weeks. The

If demand was constant at 70 units/week with a standard deviation of 5 units and a lead time of 4 weeks. The company uses a continuous review process for inventory. Ordering costs are $50/order and holding costs are $2/unit-year. Assume 52 weeks in a year. Assume a 97% service level (Z=1.88)
What would be the lowest total annual cost?

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