Question: Inventory System Problem Parameters Daily demand for an an inventory item is normally distributed with average value of 39 units per day The standard deviation

Inventory System Problem Parameters Daily demand for an an inventory item is normally distributed with average value of 39 units per day The standard deviation of daily demand is 4 The item is used 365 days per year We buy the item for $90 per unit Each time we order, we incur fixed ordering costs of $125 per order Our annual carrying cost rate is 25% When we order replenishment inventory, the order lead time is 4 days The ordering policy currently being used is: Whenever inventory position falls to R = 170 units, an order is placed for Q = 600 units 5 5 7 The Inventory System Problem tab of the Exam 2 Question Parameters workbook contains information about an inventory system that you will analyze. The tab presents information about the demand pattern, order lead time, various cost information, as well as a description of the (Q, R) ordering policy currently in use. Use the information on this tab to answer the following 12 questions Question 11 2 pts The average annual (yearly) demand for this item is SHOW YOUR WORK units. Edit View Insert Format Tools Table 12pt Paragraph

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