CY-Sport Store sells tennis rackets. Demand for rackets is 345 units per week. The standard deviation of weekly demand is 4 units. The order lead time for the tennis rackets is very stable and averages 3 weeks per order. The estimated cost to process orders for rackets is $20 and the unit holding cost is $6 per year. The store operates 52 weeks a year.

Determine the reorder point that results in a 2% stock-out probability. Assume customer service is one of the top priorities of the company for which you work.

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