ShoeMart often stocks out of Crocs. Thinking this may be a replenishment issue, you investigate. The demand for Crocs is normally distributed with weekly mean of 100 pairs and standard deviation of 25. Crocs cost ShoeMart $15 per pair and have an inventory holding cost of $60 per pair per year. The ordering cost is $250 per order with a lead-time of 3 weeks. Assume 52 weeks/year. a) How many pairs of Crocs should ShoeMart order at a time (assume continuous review policy)? Round answer to nearest whole number. b) Compute the safety stock (in pairs of Crocs) needed to maintain a service level of 99%. Round answer to nearest whole number. c) What is the annual holding cost for carrying this safety stock? Round to 2 decimal places. d) Compute the reorder point for 99% service level. Round answer to nearest whole number e) How much less safety stock would be needed if ShoeMart decided to reduce their service level from 99% to 95% ? How much do they save by taking this approach? (Note: z-values corresponding to standard normal probabilities can be calculated using Excel or can be found in the table provided at the end of the problem) Table of z-values