Question: A. The average time between orders is ___ weeks (Round to 2 decimal places). B. To provide a 99% cycle-service level, the safety stock for

A. The average time between orders is ___ weeks

A. The average time between orders is ___ weeks (Round to 2 decimal places).

B. To provide a 99% cycle-service level, the safety stock for this item is ___ units (Round to nearest whole number).

C. To provide a 99% cycle-service level, the reorder point for this item is ___ units (Round to nearest whole number).

D. For these policies, the annual cost of holding the cycle inventory is $____ (Round to 2 decimal places), and annual cost of placing orders is $___ (Round to 2 decimal places).

Your firm uses a continuous review system and operates 52 weeks per year. One of the SKUs has the following characteristics. Refer to the standard normal table for z-values. > Demand (D) = 18,000 units/year > Ordering cost (S) = $35.00/order > Holding cost (H) = $4.25/unit/year > Lead time (L) = 1 week(s) > Cycle-service level = 99% > Demand is normally distributed, with a standard deviation of weekly demand of 90 units. > Current on-hand inventory is 1,040 units, with no scheduled receipts and no backorders. The item's economic order quantity is 544 units. (Enter your response rounded to the nearest whole number.)

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