southern office supplies, inc. distributes office supplies to customers in the southeast. ordering costs are $45 per order. one ream of paper costs $3.80 and southern uses a 20% annual inventory-holding cost rate. the average annual demand is 15,600 reams. we assume there are 52 weeks in a year. historical data shows that the standard deviation of weekly demand is about 80. the lead time from the manufacturer is three weeks. calculate the reorder point assuming the desired service level is 90%
