A ! T A. a AaBbCcDd AaBbCeDd AaBbCcDd AaBbCcc AaE Heading 1 1 Normal 1 No Spac... Heading 2 He 1 Paragraph Styles Name: PROD 315 Summary Assignment 6 Inventory Management Due 11:59 pm on Saturday, April 24 Sam's Cat Hotel operates 52 weeks per year, 6 days a week. It purchases kitty litter for $11.70 per bag. The following information is available about kitty litter. Demand = 90 bags/week; Standard deviation of weekly demand = 15 bags Order cost = $54/ order Annual holding cost = 27% of the cost Lead time = 3 weeks The desired cycle-service level is 80% Part A: Continuous Review (Q) System. Assume the Sam's uses a continuous review system to answ how much and when. 1. What is the economic order quantity (EOQ)? (round to the nearest whole unit) 21.87 4. If a Q system is used, what is the reorder point? 291.87 Part B: Periodic Review P) System. Since the kitty litter is bought from the same supplier as dog food and other pet treat items, the manager think it would be appropriate to switch to a P system with a 5-week review period. 1. How much safety stock should they hold to achieve the same service level? 2. Explain why this safety stock is different from your calculations for the system. 3. What is the target level for ordering this product? 4. It is time to place the order to this supplier of pet food products. If the current inventory of kitty litteris 320, how many bags of kitty litter should be ordered