A product with an annual demand of 1100 units has Co = $24.5 and Ch = $7. The demand exhibits some variability such that the lead-time demand follows a normal probability distribution with = 30 and = 6.

What is the recommended order quantity? If required, round your answer to two decimal places. Q* =

What are the reorder point and safety stock if the firm desires at most a 3% probability of stock-out on any given order cycle? If required, round your answers to the nearest whole number. Record point = Safety stock =

If a manager sets the reorder point at 35, what is the probability of a stock-out on any given order cycle? If required, round your answer to four decimal places. P(Stockout/cycle) = How many times would you expect a stock-out during the year if this reorder point were used? Number of Orders =