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For the following questions, assume the following: Cost of item C =$100 Cost of having i=20% or .2 Annual cost having one item in inventory

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For the following questions, assume the following: Cost of item C =$100 Cost of having i=20% or .2 Annual cost having one item in inventory H=iC=.2100 Cost of placing a new order S=$400 per order for shipping and handling The annual sales demand is D=500. Average daily demand d=500/250 Working days per year =250. Lead time for more supply is L=10 days. Desired safety stock level SS is 0 . The boss walks in and asks you to evaluate a possible fixed order quantity of Q=20 units. For this possible order quantity, answer the following questions: Question: What is the average number of items in inventory

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