Discount-Mart, a major East Coastretailer, wants to determine the economic order quantity for its halogen lamps. It currently buys all halogen lamps from Specialty LightingManufacturers, in Atlanta. Annual demand is 2,400 lamps, ordering cost per order is $0.80, carrying cost per lamp is $20. As part of its new JITprogram, Discount-Mart has signed along-term contract with Specialty Lighting and will place orders electronically for its halogen lamps.

a) What is the economic orderquantity?

13.856 units per order (round your response to the nearest wholenumber).

b) How many orders will beplaced?

173 per year (round your response to the nearest wholenumber).

c) What is the total annual cost of managing the inventory with thispolicy? $___________

(round your response to the nearest wholenumber).