Question: A Discount Retail Store uses a continuous review system (Q system). One of the company's items has the following characteristics: D = 50 units/month (assume

A Discount Retail Store uses a continuous review system (Q system). One of the company's items has the following characteristics: D = 50 units/month (assume 12 months per year) S = $65/order H = $15/unit/year L= 3 weeks (constant) Standard deviation in weekly demand = 8 units Cycle-service level = 95% (a) What is the EOQ for this item? (b) What is the desired safety stock? (c) What is the desired reorder point R

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