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5.3 a. For the following item having zero inventory at the beginning of period 1, develop the magnitude of the first replenishment only using

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5.3 a. For the following item having zero inventory at the beginning of period 1, develop the magnitude of the first replenishment only using the LUC method. Item characteristics: A= $50 = $2/unit r = 0.05 $/$/period Period j D(j) 1 2 3 4 5 6 7 200 300 500 500 400 400 300 b. A marked difference between this method and that of Silver-Meal exists in the depen- dence on D(1). Briefly discuss. In particular, suppose D(1) was much larger than any of the other D(j)'s. What effect would this have on the best T for i. Silver-Meal? ii. LUC?

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