Average aggregate inventory level

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Reference no: EM131128404

Haley Photocopying purchases paper from an? out-of-state vendor. Average weekly demand for paper is 110 cartons per week for which Haley pays ?$25 per carton. Inbound shipments from the vendor average 1,150 cartons with an average lead time of 3 weeks. Haley operates 52 weeks per? year; it carries a 44?-week supply of inventory as safety stock and no anticipation inventory. The vendor has recently announced that they will be building a facility near Haley Photocopying that will reduce lead time to twotwo weekss. ?Further, they will be able to reduce shipments to 400 cartons. Haley believes that they will be able to reduce safety stock to a 22?-week supply. What impact will these changes make to? Haley's average inventory level and its average aggregate inventory? value? The changes decrease? Haley's average aggregate inventory level by (ANSWER) cartons.

Reference no: EM131128404

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