Question: n a continuous review inventory system, the lead time for door knobs is 5 months. The standard deviation of demand per month is 36 units

n a continuous review inventory system, the lead time for door knobs is 5 months. The standard deviation of demand per month is 36 units and the demand per month is 90 units. The desired cycle-service level is 96 percent. The supplier of door knobs streamlined its operations and now quotes a one-month lead time. How much can safety stock be reduced without reducing the 96 percent cycle-service level?

Round/report the safety stock values to two (2) decimal places. Do not round your intermediate calculations. Do not include units.

Original Safety Stock

New Safety Stock

Safety Stock Change

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