De 12 EOQ, reorder point, and safety stock Alexis Company uses 506 units of a product per year on a continuous basis. The product has a fixed cost of $50 per order, and its carrying cost is $4 per unit per year. It takes 5 days to receive a shipment after an order is placed, and the firm wishes to hold 10 days' usage in inventory as a safety stock. a. Calculate the EOQ. b. Determine the average level of inventory. (Note: Use a 365 day year to calculate daily usage.) c. Determine the reorder point d. Indicate which of the following variables change if the firm does not hold the safety stock (1) order cost, (2) carrying cost, (3) total inventory cost, (4) reorder point, (5) economic order quantity, a. Alexis' EOQ is units. (Round to the nearest whole number.) b. Alexis' average level of inventory is units. (Round to the nearest whole number) c. Alexis' reorder point is units. (Round to the nearest whole number.) Which of the following will change if the firm does not hold the safety stock? (Select the best answer below.) O A. Carrying Cost, Total Inventory Cost, and Reorder Point B. Order Cost, Carrying Cost, and Total Inventory Cost C. Reorder Point, Economic Order Quantity, and Order Cost D. Total Inventory Cost, Reorder Point, and Economic Order Quantity Search O e o wg 3