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3. 3.Each year, 20/20 Vision Clinic sells 10,000 frames for eyeglasses. The clinic orders frames from a regional supplier, which charges $25 per frame.

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3. 3.Each year, 20/20 Vision Clinic sells 10,000 frames for eyeglasses. The clinic orders frames from a regional supplier, which charges $25 per frame. Each order incurs an ordering cost of $60. 20/20 vision believes that the demand for frames can be backlogged and that the cost of being short one frame for one year is $15 (because of loss of future business). The annual holding cost for inventory is 20% of the dollar value of each frame. (10) A. Find the optimal order quantity B. Find the maximum shortage and maximum inventory level.

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