a) Describe what is EOQ. (2 marks) b) A product with annual demand of 2,700 units per year (300 days per work year) has annual holding costs equal to $27 and order costs of $235. (a) According to the EOQ, what is the optimal inventory order quantity? (b) If a 95% service level is desired, the product has a 10-day average lead time with a standard deviation of 3 and a standard deviation of demand of 2, what is the reorder point?