High Tech, Inc. is a virtual store that stocks a va-riety of cell phones in their warehouse. Customer orders are placed, picked and packaged, and then shipped to the customer. A fixed-order quantity inventory-control system (FQS) helps monitor and control these SKUs. The following information is for one of the cell phones that they stock, sell, and ship: Average demand Lead time Order cost Unit cost Carrying charge rate Number of weeks Standard deviation of weekly demand SKU service level Current on-hand inventory Scheduled receipts Backorders 12.5 cell phones per week 3 weeks $20/order $8.00 0.25 52 weeks per year 3.75 cell phones 95 percent 35 cell phones 20 cell phones 2 cell phones Use the EOQ Model or FQS Safety Stock Excel templates in MindTap, as appropriate, to answer the following:

a. What is the economic order quantity?

b. What are the total annual order and inventory-holding costs for the EOQ?

c. What is the reorder point without safety stock?

d. What is the reorder point with safety stock?

e. Based on the previous information, should a fixed-order quantity be placed, and if so, for how many cell phones