$(4$ points$)$ Tractor $S$ has a monthly demand of $250,000$ units for a particular tractor part. Tractor $S$ has the capacity to produce $500,000$ units per month. The setup cost is $$3000.$ The annual holding cost is $$40$ per unit. The lead time is $1$ day. Tractor $ operates $24$ days per month.

Calculate the EPQ $(1$ point$)$

Calculate Imax $(1$ point$)$

Calculate total costs of the EPQ policy $(1$ point$)$

Calculate reorder point $(0\mathrm{.}5$ point$)$

Describe the inventory policy $(0\mathrm{.}5$ point$)$