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mean of 2 0 0 units and a standard deviation of 5 0 units. At the beginning of each month, Galaxy orders enough goggles from

mean of 200 units and a standard deviation of 50 units. At the beginning of each month, Galaxy orders enough goggles from its supplier to bring the inventory level up to 180 goggles. If the monthly demand is less than 180, Galaxy pays $20 per pair of goggles that remains in inventory at the end of the month. If the monthly demand exceeds 180, Galaxy sells only the 180 pairs of goggles in stock. Galaxy assigns a shortage cost of $40 for each unit of demand that is unsatisfied to represent a loss-of-goodwill among its customers. Management would like to use a simulation model to analyze this situation.

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