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The IET Company has maintained an 8 0 % service level policy for inventory of foam rollers. Mean demand during the reorder period is 1

The IET Company has maintained an 80% service level policy for inventory of foam rollers. Mean
demand during the reorder period is 160 rollers, and the standard deviation is 50 rollers. The annual
cost of carrying one roller in inventory is $5. As a new business strategy, management decided it must
increase the service level and agreed to spend an extra $300 on inventory carrying costs. How much
does the service level increase with the extra $300?

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