Pick values for h and p; for instance, h = 0:2 and p = 0:5. Suppose that the demand random variables D1; : : : ;DN are independent. Compare S to (cf. class notes for the definition) for the following settings: 1. (10 points) Let N = 5, and let the demand distributions F1; : : : ; FN all be normal with mean 10 and variance 2. 2. (1 point) Let N = 10, and let the demand distributions F1; : : : ; FN all be normal with mean 10 and variance 2. 3. (1 point) Let N = 20, and let the demand distributions F1; : : : ; FN all be normal with mean 10 and variance 2. 4. (8 points) How does the ratio S= change with N? 1 5. (10 points) Let N = 10, and let the demand distributions F1; : : : ; FN all be normal with mean 10 and variance 1. 6. (1 point) Let N = 10, and let the demand distributions F1; : : : ; FN all be normal with mean 10 and variance 2. 7. (1 point) Let N = 10, and let the demand distributions F1; : : : ; FN all be normal with mean 10 and variance 3. 8. (8 points) How does the ratio S= change with the variance? 9. (10 points) What is the take-away lesson from this exercise?