Please answer all questions and show work.

7. Acme Inc buys 10,000 assembly X 's per year from Supplier Z. The standard cost is $4 each. After a study on the cost of procurement, the company estimates its ordering costs to be $50 order. The current carrying cost is estimated to be 25% per year. A new promotion offered by Supplier Z offers a 2% discount if you order at least 2000X 's at a time. a. What annual savings (if any) would there be if you took the promotional offer? 8. A company stocks part A that has a weekly demand of 600 units. Due to competition only one stockout per year is permitted. Assume the standard deviation within the lead-time is 100 . The current order quantity is 2500 units. Lead time is 4 weeks. Given this, what is: a. The re-order point? b. The average inventory? c. The safety stock level? 9. Part A has a unit cost =$20, annual carrying charge =9%, annual demand =3,000 units, and ordering cost =$20 per order. a. What is the EOQ? 10. Smith Inc. maintains an inventory of part A. The average demand is 1248/ year. A safety stock of 30 is kept. The current lead -time from the supplier is 3 days. Every 10 days, the current inventory level is checked and ordered. Today is the day a new order is to be placed, and the current inventory is 138 . a. What is the target inventory level? b. How much should be ordered today