Consider an inventory system with 4 items: Item i :(units/year) Ci 7,200 2.00 4,000 0.90 A CO NO H 500 5.00 2,500 0.81 The inventory manager argues that there is no way that he can evaluate K and i; however, he admits that K/i is reasonably constant across the items, which he assumes to be 500. He has been following a 'power-of-two' policy for each item, where the base- period is a month. a) Characterize the policy followed by the manager. b) What K/i value gives the same average cycle stock (in dollars) under EOQ as the current rule? c) What Ki value gives the same N under EOQ as the current rule