Question: Use the information below to answer this question. Demand for bottled water dispensed by the vending machines in Schulze Hall is normally distributed with a

Use the information below to answer this

Use the information below to answer this question. Demand for bottled water dispensed by the vending machines in Schulze Hall is normally distributed with a mean of 100 bottles/day and standard deviation of 10 bottles/day. The vending machines can be replenished (a) either by a perpetual review (Q) system, or (b) periodically during a weekly visit by the vendor with a Vendor Managed Inventory (VMI) system. It costs $50.00 per order to replenish the vending machines and $0.91 to carry a bottle of water in inventory for one year. Determine the target inventory (U) required for maintaining a service level of 95%, if the VMI system is used for managing the inventory for this item? Assume: 7 days/week, 52 weeks/year for all calculations and select your answer that is within + 1.00 or - 1.00 of the correct answer. 1033 o 744 1635 438 None of these answers is correct

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