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4. (25 points) Zip Games purchases blank DVD disks onto which it copies its software for sale through its mail order operation. The firm opens

4. (25 points) Zip Games purchases blank DVD disks onto which it copies its software for sale through its mail order operation. The firm opens every day. A disk costs Zip $0.20. Processing an order for more disks cost $15. Zip uses 60000 disks annually, and the company has a 25% holding cost rate. Show steps to find: a. EOQ. b. What is the reorder point if lead time is 2 days? c. What is the cycle time? d. What is the total inventory cost

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