Question: Please show formulas. Solve using fixed reorder quantity system: Lowes sells their own brand of door locks. The locks cost $8.25 each and are sold

Please show formulas. Solve using fixed reorderPlease show formulas.

Solve using fixed reorder quantity system: Lowes sells their own brand of door locks. The locks cost $8.25 each and are sold for $15.99. Lowes' annual holding cost rate is 23%. The cost to place an order is approximately $30. Demand over the past eight weeks has been as follows: Week Week | | | Demand 24 20 16 22 001 Demand 18 22 28 18 3 100 Lowes uses a simple eight-week moving average to forecast average annual demand and average lead time demand. Lead time for delivery is two weeks, and Lowes prefers to maintain a cycle service level of 96%. The lead time demand follows a normal distribution with a standard deviation of 5.45 units. On the basis of this information, determine: - The optimal inventory policy (order quantity, safety stock and reorder point) for the locks. The total annual inventory cost (holdings, ordering, procurement) for this policy. The number of calendar days between orders (cycle time). 23

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