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Weekly demand for diskettes at a retailer is normally distributed with a mean of 1000 boxes and a standard deviation of 150. Currently, the store places orders via paper that is faxed to the supplier. Assume 50 working weeks in a year and the following data:
1. Lead time for delivery of an order is 4 weeks
2. Fixed cost per order is $100
3. Each box of diskettes costs $1
4. Holding cost is 25% of purchase cost
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