Business Operations 2321 - Business Analytics Model Building Exercise 7 Autumn 2023 MBE 7-Simulation: Mudsock Motorcycles Inventory Management Problem Statement #1: You excelled at your Microbrewery and decided to expand your Mudsock empire by purchasing a motorcycle dealership. You want to better understand the inventory costs associated with the motorcycle operation. There is variation in both demand (what the customer wants) and supply (what you produce). Costs associated with having excess supply include carrying and inventory costs. Costs associated with running out of supply include lost revenue and the cost of expediting, or rushing an order through the system. Inventory and stockout costs are inverse - as one increases the other decreases. You want to determine the inventory level with the lowest total inventory management cost, or total shipping and stockout cost. You evaluate the demand over the past 3 years. You find that your monthly orders for motorcycles, are distributed between 5 and 35 motorcy