Assume that all assumptions of the EOQ model hold. If a firm wants to minimize total annual costs, and currently their ordering strategy for product $Z$ results in annual ordering costs of $$7654$ and annual holding costs of $$3454,$ what should the firm do to lower their costs?

order more of the product $Z$ in each order, and thus order less frequently

order less of the product $Z$ in each order, and thus order more frequently

increase the number of suppliers

maintain the current ordering strategy

unable to determine with the information provided