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Oleumplc sells a soap called Fragro , which it buys in boxes of 1,000 bars with ordering costs of Tzs. 5,000 per order . Retail

Oleumplc sells a soap called Fragro , which it buys in boxes of 1,000 bars with ordering costs of Tzs. 5,000 per order . Retail sales are 200,000 bars per year and holding costs are TZS. 195,312.50 per year per 1,000 bars.

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(a) What is the economic order quantity and the average inventory level for Fragro ?

(b) What is Fragro's Total Cost of Inventory ?

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