Question: Question 20 (7 points) Continued from the previous question Bass-killer, a special plastic bait, is available at the Winona Fishing Cabin(WFC) at $10 per bag.

Question 20 (7 points) Continued from the
Question 20 (7 points) Continued from the previous question Bass-killer, a special plastic bait, is available at the Winona Fishing Cabin(WFC) at $10 per bag. The demand can be approximated by a normal distribution with a mean of 21 bags per week and a standard deviation of 3.4 bags per week. Lead time is 3 weeks, and there will be shipping cost $50 for each order. The new manager desires a chance of stockout of 5% or lower, and estimates the annual inventory holding cost is 20% of sales price. Assume 1 year = 50 weeks. When does WFC have to place an order in terms of on hand inventory level to maintain stockout probability of 5% or lower? (Round up to an integer for answer) - Format Blu- type in your work to get partial credit when your answer is wrong. 3

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