1. Weekly demand for detergent at a Carrefour store is normally distributed, with a mean of 2,500 and a standard deviation of 1,000. The store manager continuously monitors detergent inventory and places a replenishment order of 9,000 units when there are 7,500 units in inventory. The supplier takes two and a half weeks to supply a Carrefour order.

a) What CSL does the store achieve? State your answer with 3 decimal places.

b) What fill rate does the store achieve? State your answer with 3 decimal places.

c) What is the average flow time in weeks? State your answer with 1 decimal

place.

d) If the carrying cost of one unit in inventory for one year is $1.50, what is the

annual carrying cost based on the above inventory policy?