Input data
Cost of overstocking, Co = 0.50$
Cost of understocking, Cu = 1.00$
Mean demand 50,000
Standard deviation of demand = 15,000
Optimal CSL = 0.67
Optimal order quantity = 56,461
Input data
Cost of overstocking, Co = 0.50$
Cost of understocking, Cu = 5.00$
Mean demand 50,000
Standard deviation of demand = 15,000
Optimal CSL = 0.91
Optimal order quantity = 70,028