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Weekly demand for Hanes t-shirts at JCPs has been determined to follow a normal distribution with a mean of 5,000 shirts and a standard deviation

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Weekly demand for Hanes t-shirts at JCPs has been determined to follow a normal distribution with a mean of 5,000 shirts and a standard deviation of 700 . Hanes' replenishment lead-time to JCP is 4 weeks. Every time an order is placed by JCP, there is a cost of $250 to cover administrative costs. Inventory holding costs are estimated to be $1 per shirt per year. 1. What should JCP carry for SS, assuming a 99% CSL? (3 pts) 2. What is JCP's average Cycle Inventory, assuming a 99% CSL? (3 pts) 3. What is JCP's average Total Inventory, assuming a 99\% CSL? (3 pts) 4. If the CSL is lowered to 80% would Hanes sell more or less t-shirts to JCP? ( 3 pts) 5. Please give one example of an incentive Hanes could provide to JCP to purchase more t-shirts? ( 3 pts)

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