. [14 Points] Consider an inventory item that has carrying cost per unit is $1.75 per year. The fixed order cost is $500 per order. If the firm begins each month with 9,600 items in stock. This stock is depleted each month and reordered. a. What is the total carrying cost? What is the restocking cost? Is the inventory policy optimal? Why? b. What is the optimal inventory policy for the company in terms of order size and order frequency