Consider a perishable commodity that is outdated in exactly three basic periods. Suppose that an ordering decision is made at the beginning of each period and the replenishment arrives instantaneously. An order-up-to-level (R, S) system is used. The perishability of the item means that any units procured at the start of period t and still on-hand at the end of period t +2 must be discarded. Any demand not satisfied is lost (i.e., there is no backordering). Simulate the behavior of such a system for 20 periods assuming S = 30 units and the demand in the 20 consecutive periods are 11, 9, 3, 4, 14, 11, 7, 9, 11, 10, 12, 15, 8, 11, 8, 8, 14, 15, 5, 11. In particular, what is the average of each of the following?

a. Inventory carried forward to the next period

b. Number of units discarded per period

c. Lost sales per period Assume that at the start of period 1 (before an order is placed) there is no older stock, that is, we place an order for 30 units.? Lp852