The demand for a product in a UPS warehouse follows a normal distribution , for which the mean is 1,000 units per month

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The demand for a product in a UPS warehouse follows a normal
distribution , for which the mean is 1,000 units per month and the
standard deviation is 200 units per month. The lead time is 0.25
month for the warehouse. The product is valued at $80 per unit in
the warehouse. The ordering cost is $20 and the inventory carrying
cost is set at 2% per month. A service level of 95% is required
during the lead time. The out-of-stock cost is $10 per unit.
Assuming the manager in this warehouse uses Re-Order point
inventory control policy.
1. As a result of adopting this policy, what is the annual
inventory carrying cost for safety stock?
2. For out of stock calculation what is the E(z) for the service
level required?
hint: E(z)=NORM.DIST(z,0,1,FALSE)-z*NORM.S.DIST(-z,TRUE)). 4
decimal places please.
THE SERVICE LEVEL IS 95% PLEASE DO NOT COPY ANSWER FROM ANOTHER
QUESTION THAT IS 85 PERCENT I AM ASKING FOR 95 PERCENT SERVICE
LEVEL