3. The Pesky Pest Control Company (PPC) provides residential services for the local community. This is a relatively lucrative business since the monthly service call costs $30 and PPC uses only $2 worth of chemicals on the average treatment. PPC currently uses 3,000 barrels of pesticide per year, and it expects to maintain this level of business for the foreseeable future. The chemicals have a shelf life of 60 days, and the annualized storage cost is $6 per barrel. PPC's office is located only about a mile from their chemical supplier so there is virtually no lag time between the placement of an order and the receipt of the chemicals. This means that there is no need for safety stock, and PPC has been able to reduce ordering costs to $10 per order. Use a 360 day year. a) How many barrels of chemicals should PPC order at a time in order to have the lowest total inventory cost for this chemical? b) How many orders will be placed per year? c) What is the total annual inventory cost for the chemicals if supplies were ordered in the quantity specified in part a)? FLASH: The government has just banned one of the major components of the chemical formula that PPC uses as an pesticide. Fortunately, the supplier has a substitutechemical in stock. Unfortunately, this new chemical has a shelf life of only 10 days. All cost figures will remain the same. Will this have any effect on PPC's ordering procedures, and, if so, what