The Super Discount store (open 24 hours a day, every day) sells ...

[tingc95]

The Super Discount store (open 24 hours a day, every day) sells 8-packs of paper towels, at the rate of approximately 420 packs per week. Because the towels are so bulky, the annual cost to carry them in inventory is estimated at .50 . The cost to place an order for more is 20 and it takes four days for an order to arrive.
 a. Find the optimal order quantity.
  b. What is the reorder point?
  c. How often should an order be placed?

Question 2

Twenty percent of the applications received for a particular position are rejected. What is the probability that among the next fourteen applications,
 a. none will be rejected?
  b. all will be rejected?
  c. less than 2 will be rejected?
  d. more than four will be rejected?
  e. Determine the expected number of rejected applications and its variance.

[blazinlyss]

Answer to Question 1

a. Q = 1322
b. r = (60)(4) = 240
c. T = 365(1322)/21840 = 22 days

Answer to Question 2

a. 0.0440
b. 0.0000
c. 0.1979
d. 0.1297
e. 2.8, 2.24

[tingc95]

TYSM

[marict]

Thanks for the timely response, appreciate it