Steve's shop sells sea shells by the sea shore.Steve desires to offer at least a 90% in stock availability of shells for his customers.He sells 40 shells each day on average, with a standard deviation of 20.When he orders replenishments of shells, it typically takes 1 day for the supplier to deliver, with a standard deviation of 1 day.If Steve's holding cost is $0.5 per shell per year, how much money will he spend each year in holding costs in order to provide a 90% service level? (pick the number closest to the correct answer)

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The Answer of Steve's shop sells sea shells by the sea shore.Steve desires to offer at least a 90% in stock availability of shells for his customers.He sells 40 shells each day on average, with a standard deviation of 20.When he orders replenishments of shells, it typically takes 1 day for the supplier to deliver, with a standard deviation of 1 day.If Steve's holding cost is $0.5 per shell per year, how much money will he spend each year in holding costs in order to provide a 90% service level? (pick the number closest to the correct answer)

Steve's Shop Sells Sea Shells by the Sea Shore