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To simulate inventory management for a particular product, assume that the per period demand is an integer valued quantity which follows the normal distribution with
To simulate inventory management for a particular product, assume that the per period demand is an integer valued quantity which follows the normal distribution with mean and standard deviation 50 and 15, respectively. If the demand exceeds the starting inventory, then the ending inventory would be zero, that is, the \"extra" demand is lost. Therefore, the ending inventory level is never negative. Ordering will take place at the end of the period, based on the ending inventory, and the order arrives at the beginning of the next period. A B C D E F G H 1 I Inventory Problem _ 2 3 Mean Demand 50 units 4 Demand Std Dev 15 units 5 6 1' Order Quantity 80 units Order Cost $250 per order 8 Reorder Point 30 units Holding Cost $5 per unit-period 9 10 1 1 Period Starting Inv Demand Ending Inv Order Qty Order + lnv Cost 12 1 60 13 2 14 3 15 4 16 S 17 6 18 7 To simulate random demand for this problem in cell C12, a command that would work is
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