Question: 11.2. An industrial engineer has developed a computer simulation model of a two-item inventory system. The decision variables are the order quantity and the reorder
11.2. An industrial engineer has developed a computer simulation model of a two-item inventory system. The decision variables are the order quantity and the reorder point for each item. The response to be minimized is total inventory cost. The simulation model is used to produce the data shown in Table P11.1. Identify the experimental design. Find the path of steepest descent.

Item 1 Order Reorder Quantity (1) Point (2) 100 25 140 45 140 25 140 25 100 45 100 45 100 25 140 45 120 35 120 35 120 35 Item 2 Order Reorder Total Quantity (3) Point (4) Cost 250 40 625 250 40 670 300 40 663 250 80 654 300 40 648 250 80 634 300 80 692 300 80 686 275 60 680 275 60 674 275 60 681
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