Question: What would be the impact on the 1998 plan if the safety stock inventory were reduced from the traditional 33% level to 20%? Spreadsheet analysis

What would be the impact on the 1998 plan if the safety stock inventory were reduced from the traditional 33% level to 20%? Spreadsheet analysis could be used to estimate the impact of the safety stock reduction on the 1998 plan, assuming the production yield as a) plan, b) 80%, and c) 90%. See column FY1998, Exhibit 4
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