A company has the following data:

Annual demand = 2,500 units

Ordering cost = $15 per order

Average carrying cost per unit per year = $0.75

Daily demand = 65 units

Delivery in 5 working days

Setup cost = $100

Carrying cost = $0.50 per unit per year

Daily production rate = 100 units daily

Daily demand rate = 75 units daily

Find

1. optimal order quantity EOQ to reduce inventory costs
2. total cost
3. Number of orders per year
4. Average inventory
5. The average dollar level of inventory
6. EOQ if we increase C_o to $40