CENGAGE |MINDTAP Q Search this course Excel template - Saved v Search (Option + Q) Chapter 12 Excel Activity: FQS Safety Stock X File Home Insert Draw Page Layout Formulas Data Review View Help Editing 10 B vvAv ... Ev ab Number EV APV OV ... Question 1 0/10 Video B12 " X V fx Submit B C D E Fixed Order Quantity Inventory System with Uncertain Demand Excel Online Activity: FQS Safety Stock Average Annual Demand 15,500.00 Southern Office Supplies Inc. distributes office supplies to customers in the Southeast. One popular SKU is laser printer paper. Ordering costs are VOUAWN Ordering Cost $51.00 $51.00 per order. One ream of paper costs $3.50, and Southern uses a 20 percent annual inventory-holding cost rate. The average annual demand Unit Cos $3.50 0.20 is 15,500 reams and historical data shows that the standard deviation of weekly demand is about 65. The lead time from the manufacturer is 3 Carrying Charge Rate Lead time (weeks) 3.00 weeks. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the 52 questions below. 9 Weeks in a year Standard deviation of weekly demand 65.00 10 Service level 0.90 Formulas 11 12 Economic Order Quantity (to whole number #N/A 13 Order cost #N/A 14 Open spreadsheet Inventory cost #N/A 15 Total cost #N/A 16 Questions 17 Average demand during lead time #N/A 18 Standard deviation during lead time #N/A 1. What is the minimum-cost economic order quantity? Round your answer to the nearest whole number. 19 z-value #N/A 20 Safety stock #N/A reams 21 Reorder point #N/A 22 2. What is the annual ordering cost for the EOQ? Use the rounded EOQ value in your calculations. Round your answer to the nearest cent. 23 24 $ 25 26 27 3. What is the annual inventory holding cost for the EOQ? Use the rounded EOQ value in your calculations. Round your answer to the nearest cent. 28 29 30 31 4. What is the total annual cost for the EOQ? Use the rounded EOQ value in your calculations. Round your answer to the nearest cent. 32 33 $ 34 35 5. Assuming that there are 52 weeks in a year what is the average demand during the lead time? Round your answer to two decimal places. 36 37 38 reams 39 40 6. What is the standard deviation of demand during the lead time? Round your answer to two decimal places. 41 42 reams 43 44 7. What is the safety stock with a 99 percent service level? Round your answer to two decimal places. 46 reams 47 48 8. What is the reorder point with safety stock? Round your answer to the nearest whole number. 49 50 51 reams 53 54 Check My Work Reset Problem 55 56 Back Next = 8 Sheet1 + Calculation Mode: Automatic Workbook Statistics Give Feedback to Microsoft - 100%