Question $1(5$ points$)$

Gulfstream, Inc. uses a Q$-$model to make inventory decisions about a replacement part for a door panel. Annual demand has been forecast to be $2500$ units, while it costs $$8$ to hold unit for a year and $$400$ to place an order. The order lead time is $9$ days and a service level of $98\%$ is desired. What is the optimal order quantity?

$500$

$10$

$700$

$177$