Question: 1.) Sams optimal order Quantity is _____ bags? 2.) Average time between orders? 3.) The reorder point is _____ bags? Sam's Cat Hotel operates 52

1.) Sams optimal order Quantity is _____ bags?
2.) Average time between orders?
3.) The reorder point is _____ bags?
Sam's Cat Hotel operates 52 weeks per year, 7 days per week, and uses a continuous review inventory system. It purchases kitty litter for $11.00 per bag. The following information is available about these bags. Refer to the for z-values. > Demand =95 bags/week > Order cost = S58/order > Annual holding cost =25 percent of cost > Desired cycle-service level =96 percent > Lead time =1 week(s) (7 working days) > Standard deviation of weekly demand =20 bags > Current on-hand inventory is 350 bags, with no open orders or backorders. a. What is the EOQ? Sam's optimal order quantity is bags. (Enter your response rounded to the nearest whole number.)Step by Step Solution
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