uestions Problem 12-60 Algo (Managing Fixed-Period Inventory Systems) 1. 5. 6. 7. 8. 9. 10. 11. 4 Question 5 of 11 > Hint(s) Check My Work Crew Soccer Shoes Company is considering a change of their current inventory-control system for soccer shoes. The information regarding the shoes is given below: Demand = 100 pairs/week Lead time = four weeks Order cost = $30/order Holding cost = $6.00/pair/year Cycle service level = 92 percent Standard deviation of weekly demand = 50 Number of weeks per year = 52 a. The company decides to use a fixed-order quantity system. What would be the reorder point and the economic order quantity? Round your answers to the nearest whole number. Economic order quantity: Reorder point: 541 228 units units b. In this system, at the beginning of the current week, the materials manager, Luke Thomas, checked the inventory level of shoes and found 100 pairs. There were no scheduled receipts and no back orders. Should he place an order? Explain your answer. Since the inventory level of 100 pairs is lower than the reorder point, Thomas should place an order. c. If the company changes to a fixed-period system and reviews the inventory every three weeks (T = 3), how much safety stock is required? Round your answer to the nearest whole number. 122 units Hide Feedback