Problem 2 (8 points) In the context of the Newsboy model discussed in class, consider the inventory management of a perishable product with the following features: - Market price =$100 per unit. - Purchasing cost =$50 per unit - Salvage value =$10 per unit Based on past experience, you have collected the following information about this product demand distribution. For example, the probability that the demand for this less than or equal to 600 units is 78.7% a) Based on this information, what is the optimal level of inventory to procure? [5 pts] b) Suppose that instead of deciding the inventory policy using the optimal Newsboy (fractile) rule you want to pick the level of inventory so that with 95% probability you will not experience any stockout. What is the inventory to maintain this service level? [3 pts]