The Carpet Discount Store sells Super Shag carpets. The average daily customer demand for the carpet stocked by the store is normally distributed, with a mean daily demand of 30 metres and a standard deviation of 5 metres of carpet per day. The lead time to receive a new order of carpet is 10 days. The store wants a reorder point and safety stock for a service level of 95%.

1) What is the reorder point?

2) How much is the safety stock?

3) Solve a and b again with a service level of 99%

4) How much does the increased service level cost in terms of total inventory costs during reordering?