Consider the following data and answer the next four questions.

A plant operates 5 days a week, 52 weeks a year, and can produce at 60 units per day.

The setup cost for production run is $450.00.

The cost of holding inventory is $5.00 per unit per year.

The annual demand for this product is 5000 units.

a. What is the EPQ?

b. What is the total annual cost of inventory and set up if the batch size (Q)

is 800 units?

c. What is the number of set ups per year if the lot size (Q) is 1500 units?

d. What is the maximum inventory level if the batch size (Q) is 600?