Walmart uses a continuous review system and operates 52 weeks per year One of the SKUs has the following characteristics Demand (D) 20,600 units year Ordering cost (S) $55 00 order Holding cost (H) $2 50 unit year Lead time (L) 3 week(s) Cycle service level 90 , z 1 28 Demand is normally distributed, with a standard deviation of weekly demand of 103 units Current on hand inventory is 1,040 units, with no scheduled receipts and no backorders What is the safety stock for this item if the company wants to provide a 90 cycle service level (Enter your response rounded to the nearest whole number )

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Question: Walmart uses a continuous review system and operates 52 weeks per year. One of the SKUs has the following characteristics. Demand (D) = 20,600 units/year

Walmart uses a continuous review system and operates 52 weeks per year. One of the SKUs has the following characteristics.

Demand (D) = 20,600 units/year
Ordering cost (S) = $55.00/order
Holding cost (H) = $2.50/unit/year
Lead time (L) = 3 week(s)
Cycle-service level = 90%, z = 1.28
Demand is normally distributed, with a standard deviation of weekly demand of 103 units.
Current on-hand inventory is 1,040 units, with no scheduled receipts and no backorders.

What is the safety stock for this item if the company wants to provide a 90% cycle-service level? (Enter your response rounded to the nearest whole number.)

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