Question: answer all and show work Problem 13 (b) p. 363 (Sam's cat hotel) Sam's Cat Hotel operates 52 weeks per year, 6 days per week,

answer all and show work answer all and show work Problem 13 (b) p. 363

Problem 13 (b) p. 363 (Sam's cat hotel) Sam's Cat Hotel operates 52 weeks per year, 6 days per week, and uses a continuous review inventory system. It purchases kitty litter for $11.70 per bag. The following information is available about these bags Demand= 90 bags/week Order Cost=$54/order Annual holding cost= 27 percent of cost Desired cycle-service level= 80 percent Lead time= 3 weeks (18 working days) Standard deviation of weekly demand= 15 bags Current on hand inventory is 320 bags, with no open orders or backorder As stated in the problem, find the value of Rthat is required for an 80% service level. Also report the average safety stock that is carried under this policy. Optional: Repeat for a 90% service level and a 95% service level. . Additionally (Required): What is the predicted service level if they set a target of 30 bags of safety stock (on average)? What order point Ris required to create this average safety stock level? Optional: Repeat for safety stock levels of 40, 50, 60, 70 bags

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