(Answered) : Sam S Cat Hotel Operates 52 Weeks Per Year 77 Days Per Week Uses Continuous Review Invento Q33503674

​Sam’s Cat Hotel operates 52 weeks per​ year, 77 days per​ week,and uses a continuous review inventory system. It purchases kittylitter for ​$11.50 per bag. The following information is availableabout these bags. Refer to the standard normal table LOADING…for​ z-values.

≻Demand ​= 92 ​bags/week

≻Order cost​ = ​$57/order

≻Annual holding cost​ = 26 percent of cost

≻Desired ​cycle-service levelequals = 96 percent

≻Lead time​ = 11 ​week(s) ​(77 working​ days)

≻Standard deviation of weekly demand​ = 10 bags

≻Current ​on-hand inventory is 315 ​bags, with no open orders orbackorders.

a. What is the​ EOQ? ​Sam’s optimal order quantity is _______nothing bags. ​(Enter your response rounded to the nearest