Question: a.what is the EOQ and the average time in between orders? b. what is the reorder point? c. an inventory withdrawal of 10 bags was

a.what is the EOQ and the average time in between orders?

b. what is the reorder point?

c. an inventory withdrawal of 10 bags was just made is it time to re-order?

a.what is the EOQ and the average time in between

Sam's Cat Hotel operates 52 weeks per year, 5 days per week, and uses a continuous review inventory system. It purchases kitty litter for $10.50 per bag. The following information is available about these bags. Refer to the standard normal table for z-values. > Demand = 92 bags/week > Order cost = $56/order > Annual holding cost = 26 percent of cost > Desired cycle-service level = 98 percent > Lead time = 1 week(s) (5 working days) > Standard deviation of weekly demand = 18 bags > Current on-hand inventory is 325 bags, with no open orders or backorders

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