Joe Henry's machine shop uses

2,500

brackets during the course of a year. These brackets are purchased from a supplier

90

miles away. The following information is known about the brackets:

Annual demand	2,500
Holding cost per bracket per year	$1.35
Order cost per order	$18.50
Lead time	2 days
Working days per year	250

Part 2

a)	What is the EOQ? units (round your response to two decimal places).

Part 3

b)	What is the average inventory if the EOQ is used? units (round your response to two decimal places).
	What would be the annual inventory holding cost? $ (round your response to two decimal places).

Part 4

c)	Given the EOQ, how many orders will be made annually? enter your response here orders (round your response to two decimal places).
	What would be the annual order cost? $enter your response here (round your response to two decimal places).

d.) Given the EOQ, what is the total annual cost of managing the inventory?

e.) What is the time between orders?

f.) What is the reorder point (ROP)