a) Potential locations X, Y and Z have the cost structures shown below. The ABC company has a demand of 1,30,000 units of a new product. Three potential locations X, Y and Z having following cost structures shown are available. Select which location is to be selected and also identify the volume ranges where cach location is suited? Location X Fixed Costs Location Y $350,000 $8 Location z $950,000 $150,000 Variable Costs $10 S6 Table 2 b)A store sells 30 decorated T-shirts a day for each of the 300 days a year it is open. The silk-screen shop across the street applies the decorations and delivers them to the store as they are finished at a rate of 60/day. If the cost of ordering is $10, cach shirt is worth $20, and the inventory carrying cost percentage is 25%. i) What is the EPQ ii) And the total cost of managing this inventory system? c)A carpet shop sells super carpet with the lead-time receiving a new order is 10 days, Demand (uncertain or variable) during lead time could be described by a normal distribution that has a mean of 30 yards and a standard deviation of 5 yard per day whereas stock out risk of no more than 5 % and safety stock for a service level of 95%. i) What value of Z is appropriate? I How much safety stock should be held? iii) What reorder point should be used? b) A manager at Fit Well department store wants to forecast sales of swimsuits for August using a three-period weighted moving average. Sales for May, June, and July are as follows: Month Actual Sales Forecast 500 May June 600 July 700 The manager has decided to weight May (0.25), June (0.25), and July, (0.50). Use the three period weighted moving average to determine the sales forecast for August