Excel Assignment (Statistics) essay

Read the case “An Inventory Management Decision Model” on page 297 in your main textbook (page may differ if you have a printed copy – look for the case in the book’s index).For this assignment, please answer the following questions as they pertain to your business identified in Week 1 (discussion).1. Define the data, uncontrollable inputs, and decision variables that influence your business’s total inventory cost – be specific!2. Develop mathematical functions that compute the annual ordering cost and annual holding cost based on average inventory held throughout the year in order to arrive at a model for total cost. Hint: you have to determine how often you order, which will depend on your space where you hold your inventory – space costs money, so decide wisely!3. Implement your model on a spreadsheet.You will create this model based on your business needs; there is no model in this textbook that exactly replicates what you may need, so critical thinking is key for this assignment.The first tab of your spreadsheet should contain the answers to question 1 and 2. The second tab of your spreadsheet should contain your model with all applicable (and working) formulas. Please submit your completed spreadsheet in the designated area in week 5.
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