A small copy center uses approximately 26 boxes of copy paper a week. Experience suggests that usage can be well approximated by a normal distribution with a standard deviation of 8 box per week. 2 weeks are required to fill an order for letterhead stationery. Ordering cost is $4, and annual holding cost is $0.61 per box. The manager's desired service level is 0.7. Assume a year is 52 weeks.
Required:
A) How much is the "annual" demand rate?B) How much is the optimal order quantity? (keep two decimal places)C) How many times a year the copy center place a new order of papers? (keep two decimal places)D) How many weeks does each order of paper last?E) Compute the total annual cost of ordering and carrying boxes of papers.