C 27. The Cappalari Company wishes to determine the amount of safety stock that it should maintain for Product D to result in the lowest cost. The following information is available: $ 80 per occurrence Carrying cost of safety stock.. S 2 per unit Number of purchase orders.. 5 per year The options available to Cappalari are as follows: Units of Probability of Running Safety Stock out of Safety Stock 10 50% 30 30% 50 10% 55 5% The number of units of safety stock that will result in the lowest cost is: A. 30 B. 50 C. 55 D. 10 E. none of the above SUPPORTING CALCULATION: Safety Expected Stockout Carrying Stockout and Stock Stockouts Cost Cost Carrying Cost 10 2.5 $200 $ 20 $220 30 1.5 120 60 180 50 .5 40 100 140 55 .25 20 110 130