The real estate products division of mckenzie co. is operated as a profit center. sales for the division were budgeted for 2019 at $1,250,000. the only variable costs budgeted for the division were cost of goods sold ($610,000) and selling and administrative ($80,000). fixed costs were budgeted at $130,000 for cost of goods sold, $120,000 for selling and administrative and $95,000 for noncontrollable fixed costs. actual results for these items were:
sales $1,175,000
cost of goods sold variable 545,000
fixed 140,000
selling and administrative
variable 82,000
fixed 100,000
noncontrollable fixed 105,000
prepare a responsibility report for the real estate products division for 2019.

Haley photocopying purchases a paper from an out-of-state vendor. average weekly demand for paper is 150 cartons per week for which haley pays $15 per carton. in bound shipments from the vendor average 1000 cartoons with an average lead time of 3 weeks. haley operates 52 weeks per year; it carries a 4-week supply of inventory as safety stock and no anticipation inventory. the vendor has recently announced that they will be building a faculty near haley photocopying that will reduce lead time to one week. further, they will be able to reduce shipments to 200 cartons. haley believes that they will be able to reduce safety stock to a 1-week supply. what impact will these changes make to haley’s average inventory level and its average aggregated inventory value?