ill, the office manager of a desktop publishing outfit, stocks replacement tonercartridges for laser printers. Demand for a cartridge is approximately 30 per year and is quite variable (i.e. can be represented by the poisson distribution). Cartridges cost $100 each and require 3 weeks to obtain from the vendor. Jill uses a (Q, r) approach to control stock levels.

a)If Jill wants to restrict replenishment orders to twice per year on average. What batch size Q should she use? using this batch size, what reorder point r should she use to ensure a service level (i.e., probability of having the cartridge in stock when needed) of at least 98%?

b) if jill is willing to increase the number of replinshment orders per year to six, how do Q and r change? explain the difference in r