Operation manager of a company projects that he will need to purchase a total of 24,000 units, which will be used at a fairly steady rate throughout the year. Each unit costs $35. He estimates that it costs $50 each time an order is placed. The inventory carrying cost is 18% of the unit cost. He has been placing unit orders once a quarter, but he wants to determine if another ordering pattern would be better. Use MS Excel or POM QM software to find

1.Economic order quantity.

Total cost