Problem $10-29($Algorithmic$)$

Note: Use Appendix B to identify the areas for the standard normal distribution.

a$.$ What is the reorder point if Floyd assumes a constant demand rate? If required, round your answer up to the nearest whole number:

$r=$

c$.$ What is the safety stock for part $($b$)?$ If $C_h=$$$6$ unit$/$year$,$ what is the extra cost due to the uncertainty of demand?

Safety Stock $=$

units

Added Cost $=$$

$/$ year