This should be a simple issue. You know that our average weekly sales are $5,000 and the flow time is one day. Surely with this information, you should have no problem maintaining an inventory level of $800 to serve the sales. With these words, the director of finance leaves your office. Now, you have a challenge before youthat of determining whether the analysis carried out by the director makes sense.

a. Using Littles Law, determine anticipated flow time and compare it with the expected flow time. Assume 5 working days per week. (Hint: The flow time is in days, the sales in weeks; use a common unit of measure.) Note: Round your answer to 1 decimal place.

b-1. Keeping the flow times and throughputs constant, can the process as currently described be supported by $800 of inventory?

b-2. If not, what options should you consider?