A hospital uses two types of surgical kits (M1 and M2). They use a (Q, R) system with a service level of 94%. Each time they place an order, there is a transaction cost of $500 (independent of order size). Each surgical kit costs $60 and they use a discount rate of 18%. Annual demand for each is normally distributed: M1 has a mean of 8,000 and a standard deviation of 2000; M2 has a mean of 7,000 and a standard deviation of 3000. Leadtime is 1.5 months. They are considering using only one type of surgical kit and have found that mean demand would be approximately the same. Determine how the safety stock, cycle stock, and pipeline stock will change if they go to a single kit type.

The expenditures and receipts below are related to land, land improvements, and buildings acquired for use in a business enterprise. the receipts are enclosed in parentheses. money borrowed to pay building contractor (signed a note) $(276,500 ) (b) payment for construction from note proceeds 276,500 (c) cost of land fill and clearing 11,220 (d) delinquent real estate taxes on property assumed by purchaser 8,340 (e) premium on 6-month insurance policy during construction 12,060 (f) refund of 1-month insurance premium because construction completed early (2,010 ) (g) architect’s fee on building 27,040 (h) cost of real estate purchased as a plant site (land $206,800 and building $55,900) 262,700 (i) commission fee paid to real estate agency 9,620 (j) installation of fences around property 4,030 (k) cost of razing and removing building 10,130 (l) proceeds from salvage of demolished building (4,910 ) (m) interest paid during construction on money borrowed for construction 13,700 (n) cost of parking lots and driveways 17,690 (o) cost of trees and shrubbery planted (permanent in nature) 14,080 (p) excavation costs for new building 2,950 identify each item by letter and list the items in columnar form.