Question: Can someone do a step by step on how to go through the safety stock formula & reorder point formula everything else makes sense. Your

Can someone do a step by step on how to goCan someone do a step by step on how to goCan someone do a step by step on how to goCan someone do a step by step on how to go through the safety stock formula & reorder point formula everything else makes sense.

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) = 19,000 units/year > Ordering cost (S) = $45.00/order > Holding cost (H) = $3.75/unit/year > Lead time (L) = 1 week(s) > Cycle-service level = 99% > Demand is normally distributed, with a standard deviation of weekly demand of 95 units. > Current on-hand inventory is 1,040 units, with no scheduled receipts and no backorders. The item's economic order quantity is 675 units. (Enter your response rounded to the nearest whole number.) The average time between orders is 1.85 weeks. (Enter your response rounded to two decimal places.) To provide a 99 percent cycle-service level, the safety stock for this item is units. (Enter your response rounded to the nearest whole number.) The safety stock is: ZO.LT = 20,VT, where z is found by using the standard normal distribution table and finding the desired service level, which in this case is give to us as 99%, 0, is the standard deviation of weekly demand in units, and L is the lead time in weeks. To provide a 99 percent cycle-service level, the safety stock for this item is whole number.) units. (Enter your response rounded to the nearest The reorder point is: dL + Safety Stock where dis average demand per week in units, Lis lead time in weeks, and the safety stock is the value calculated in the previous question in whole units. To provide a 96 percent cycle-service level, the reorder point for this item is units. (Enter your response rounded to the nearest whole number.)

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