Question: The desired service level for a sporting good stores inventory of string bathing suits is 85%. The average demand during the replenishment period is 180

The desired service level for a sporting good store’s inventory of string bathing suits is 85%. The average demand during the replenishment period is 180 suits with a standard deviation of 30 suits:

1. What is the reorder point?

2. If the store wants to increase its service level to 91% for the suits, what is the reorder point and safety stock?

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