More questions.... D. Calculate total costs E. Calculate the safety stick F. Calculate the re order points G. Given the current issues of Boeing should the company keep ordering at the same rate or adopt your EOQ

You are the Purchasing Manager for the Boeing 737-800. You are responsible for ordering components and parts, specifically the seat for the aircraft. Boeing has an agreement with a new firm, LIFT by Encore, and plans on a combined order of 2,770 seats per month: Coach, Premium and Business Class. The cost of each seat is as follows: Coach= $5,000; Premium = $15,000, and Business Class. = $80,000. Boeing employs a lean manufacturing strategy, so the holding costs are relatively low at 25% of the combined unit cost. The combined ordering cost is $4,500 per order. Boeing recognizes twelve federal holidays and operation on a continuous cycle with multiple shifts. The average daily demand for seats is 300 with a variation in demand of 100 seats. The average lead time for delivery is ten days with a variation of 48 hours. The operating service level for Boeing is 95% with a z-score of 1.65. Assumptions: 1. Boeing produces approximately 10 Dreamliners per month. 2. 75% of the seats Boeing orders are Coach; 25% Business; and 5% Premium. a. Calculate annual demand. b. Calculate the Efficient Order Quantity. c. Calculate the order frequency