Comprehensive with safety stock at EOQ

The following items relate to stock item NextZen:

Estimated usage for per annum (2 orders per annum of 2,500 units) = 5,000 units

Cost of placing each order = $14.40

Fixed ordering, receiving and reordering cost = $6,000 per annum

Cost of holding one unit per annum = $10.00

Current policy is to order twice a year Required:

a)Determine the Economic Order Quantity for product NextZen.

b)Savings if any, if you order the Economic Order Quantity, rather than maintaining the current policy of two orders per year.