7. Falcon Sports Inc. makes a line of jet skis in a make-to-stock environment. There are eight different end items (catalog numbers) in the jet ski product line. The skis vary according to horsepower (10 or 12), seating capacity (single or dual), and starting mechanism (manual or automatic). The company owner, Freddie Falcon, is adding two new colors to the jet ski line (orange and purple) in addition to their current color (teal). The company currently holds 25 units of safety stock for each jet ski model. Manufacturing lead time is two weeks.

a. How much will the safety stock increase by offering the two new colors?

b. Freddie says the safety stock of 25 units per model is not enough, given all the product variations, so he plans to limit the number of end items available. Freddie decides that orange and purple jet skis will be available only in the 12-horsepower model and teal is only available in the 10-horsepower model. He wants to use a total of 600 units of safety stock and spread it across the limited end items. How much safety stock would there be for each end item under this plan?