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A company using a kanban system produces, among other products, a part L 1 0 5 A . The daily demand for part L 1

A company using a kanban system produces, among other products, a part L105A. The daily demand for part L105A is 960 units. The average waiting time for a container of parts is 0.6 days and the processing time for a container of L105A is 0.2 days. The container holds 80 units. Currently 12 containers are used for this item.
What is the safety stock rate implied in this system? (3 marks)
Suppose that no safety stock is used. How many containers would be needed now? (2 marks)

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