Question: using this formula: SS = z times ( ( AVGL + r ) times STD ^ 2 + AVG ^ 2 times

using this formula: SS = z \times ((AVGL+r)\times STD^2+ AVG^2\times STDL^2), solve this question about saftey stock:
After further analysis, John calculates the lead time to be stochastic with a mean of 12 weeks and a variance of 20 weeks (assume a normal distribution of the lead time). Furthermore, the need for semiconductors is not really deterministic John heard from his Marketing colleagues. 2700 is the expected yearly demand but there is huge uncertainty in that. Production and Marketing departments estimate a yearly variance of 100. After tough negotiations, Marketing and Production agreed on a minimum cycle service level is 98%. In parallel, John negotiated with the supplier and agreed that he can place an order every 3 months. Assume the fixed ordering costs to be 500 Euros from now on.
Given the new estimates, John thought about another policy that could be implemented. What is the appropriate policy in this setting? Calculate the safety stock for this policy.

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