SCENARIO-MERCHANDISING POLICY FOR LL BEAN: LL Bean is trying to sell a new type of wool lined/waterproof hiking boot during this winter season. They must make all the boots now in anticipation of the peak sales season. After February all boots will be immediately sold for $5. Additional information on the boots: Selling Price $50/unit; Cost of Product $20/unit. What would be the optima provide customers for this seasonal product? to If forecast demand is for 500,000 pairs of boots, with a standard deviation of 50,000, how many boots should be produced? Suppose you purchase a S4-per-unit part from a supplier with which you assemble red widgets. On average, you use 50,000 units of this part each year. The recommended selling price of the product is S5-per-unit. Every time you order this particular part, you incur a sizable ordering cost of $800 regardless of the number of parts that you order. Your cost of capital is 20% per year. A) How many parts should you purchase each time you place an order? B) If the lead time is 4 weeks, what is the re- order point (ROP) -assume no safety stock is used? C) If the standard deviation of the weekly demand forecast is 50 and you want to guarantee a 90% in-stock level, what is the ROP with Safety Stock