(1) Calculate the optimal Economic Order Quantity for one of the company's raw materials when its estimated demand for 2023 is 50005 pieces, order cost is 20 per order, delivery costs is 50 per order and storage cost 5% per year. Average price of one raw material is 120 Euros.

(A) How much of that raw material should be in stock when placing a new order in order to place a new order arrives just before you have to use the Reorder Point? The average delivery time is 5 days, demand can be expected to be linear and your company has 2 days to emergency storage.