QUESTION 3 (20 Marks) 3.1 BIC Enterprises purchases 5 000 CD players at R300 each per annum. The CD players are sold evenly throughout the year. The cost of placing a single order is R50. The cost of carrying the inventory amounts to R12 per unit. REQUIRED 3.1.1 Calculate the economic order quantity for the year. (6 marks) 3.1.2 Calculate the number of orders that should be placed during the year. (4 marks) 3.2 The following transactions of ICU Manufacturers, that uses the perpetual inventory system, took place during February 2020 in respect of a part used in production: Feb 01 07 14 15 16 Stock on hand 300 units @ R17 per unit Issued to production 210 units Purchased from supplier 900 units @ R17.50 per unit Issued to production 350 units Returned to supplier (purchased on 14 February 2019) 60 units Issued to production 400 units 25 REQUIRED Using the first-in-first-out (FIFO) method, calculate the value of closing inventory as at 29 February 2020. (10 marks)