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Safety Stock and Reorder PointConsider the following data.Based on the below data:Calculate the safety stock quantities and the inventory cost associated with safety stock (based on the item unit cost) for the inventory items at four different service levels (50%, 80%, 90%, and 95%).Develop a table to present the inventory quantities and the safety stock costs at each service level.Assuming that demand occurs at a steady pace every month (in other words, there is no seasonality or cyclical change in the level of demand), calculate the reorder point for each item assuming a lead time of two months and a service level of 90%.Develop a table to present the reorder points for all products under these conditions (two month lead time and service level of 90%).Inventory Item         Average Demand (Annual)     Sigma (Std. Dev.) of Demand During Lead Time      Item Unit CostF-11001                            15,000                                                           100                                                            $250.00K-12002                            100,000                                                         300                                                             $2.00L-13003                            250,000                                                         200                                                             $0.20N-14004                          300,000                                                          400                                                             $1.00P-21001                            50,000                                                            60                                                              $125.00S-22002                           80,000                                                             75                                                             $30.00Note: All items are independent demand items.Submission Details:Submit your report in a two- to three-page Word document, using APA style.

  
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