he soft goods department of a large department store sells $500$ units per month of a certain large bath towel. The unit cost of a towel to the store is $$0\mathrm{.}50$ and the cost of placing an order has been estimated to be $$2\mathrm{.}00.$ The store uses an inventory carrying charge of I $=0\mathrm{.}17.$ Assuming that the demand is deterministic and continuous, and that no stockouts are allowed, determine the optimal order quantity. What is the time between the placing of orders? The procurement lead time for the towels is one month. What is the reorder point based on the on hand inventory level?