Consider a periodic review system, where orders are placed every $18$ days. The

firm strives to provide a $94\mathrm{.}18\%$ cycle service level. Demand averages $425$ units

per day, and the standard deviation of demand per day is $106$ units. Lead time is

$11$ days $($round Z$-$values, standard deviations to two decimal places$).$

a$.$ How many units of safety stock should be held? units $($round your

response to the nearest integer$).$

b$.$ What should the target inventory level $($order$-$up$-$to level$)$ be$?$ units $($round

your response to the nearest integer$).$

c$.$ Suppose that it is time to review the item. There are $152$ units in inventory,

and there is an outstanding backorder for $423$ units. An order for $125$ units is on

the way. How many units should be ordered now? units $($round your

response to the nearest integer$).$Consider a periodic review$$ system, where orders are placed every $18$ days. The firm strives to provide a $94\mathrm{.}18\%$ cycle service level. Demand averages $425$ units per$$ day, and the standard deviation of demand per day is $106$ units. Lead time is $11$ days$($round Z$-$values, standard deviations to two decimal$$ places$).$

Question content area bottom

Part $1$

a$.$ How many units of safety stock should be$$ held?

$$

enter your response here units$($round your response to the nearest$$ integer$).$

b$.$ What should the target inventory level$($order$-$up$-$to level$)$ be$?$

$$

enter your response here units$($round your response to the nearest$$ integer$).$

c$.$ Suppose that it is time to review the item. There are $152$ units in$$ inventory, and there is an outstanding backorder for $423$ units. An order for $125$ units is on the way. How many units should be ordered$$ now?

$$

enter your response here units$($round your response to the nearest$$ integer$).$