Question: There are two inventory systems A & B. Both inventory systems have similar demand, holding cost, and setup cost. The only different is that in

There are two inventory systems A & B. Both inventory systems have similar demand, holding cost, and setup cost. The only different is that in the inventory system A, goods arrive instantly, and in inventory system B, goods arrive at a measurable rate. Can you correlate inventory system A & B with the ones we discussed in this course? Among these two inventory systems, which one will have the larger Q* i.e., optimal order quantity and Why?

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