Question: Suppose the demand from the beer game was randomly distributed with mean 15 and standard deviation 5 and was distributed over the arcs with the

Suppose the demand from the beer game was randomly distributed with mean 15 and standard deviation 5 and was distributed over the arcs with the total units being equal. Given the holding costs, of $1, the stockout cost of $2, and if ordering cost of $0.5. Also, given the lead was normally distributed with a mean of 3 and standard deviation of 1.5 weeks. If in addition, each stage took one week to process the input. If the desired service level is 95%. a. Formulate SSi if the lead time b. find the optimal Li give possible lead times minimize the total safety stock holding cost given that the lead times are all stochastic. c. What if the CSL was 90%, what is the SSi and what is the optimal lead time for each stage? d. What should the Customer service level be at each stage if to achieve a CSL of 95% overall CSL. e. If the overall CSL was 95%, what are the optimal Lis for each of the states?

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