Please answer #13.

12) You are managing a company that stocks and distributes hardware. The company employs two purchasing agents who receive combined salaries of $90,000. They process six thousand purchase requests per year. Average inventory in storage is $600,000, and the total cost of running the warehouse is $200,000. You are told that the company purchaser five thousand hammers per year at a cost of $5.34 per hammer. Using the formula, how many hammers should be ordered at one time? 200 Formula order cost = 6,000/90,000 = 15, amma storage cost 200,000/600,000 333 annual hammer purchase= 5,000 Ideal order quantity = sq root of (2*5000*/0.333) = 671.15 hammers 13 Calculate the Economic Order Quantity. or EOQ, for question 12 if annual demand is 10,000 thousand units, inventory storage costs average 20 percent, unit price is $50, and ordering costs are $30