QUESTION TWO (25) 2.1 Heythere Distributors annual sales amount to 300 000 units. Orders are placed in multiples of 100 units. The purchasing price is R1 per unit. The carrying cost of inventory equals 25% of the purchase price of goods. The ordering cost is R20 per order. Three days are required for delivery. The desired safety stock for the firm is 10 000 units. This amount is on hand. Required: 2.1.1 Calculate the EOQ for Heythere Distributors. (5) 2.1.2Determine the number of orders to be placed each year. (Assume a 360 day year) (4) 2.1.3Determine the re-order point for inventory. (4) 2.2The following data was extracted from the company statements of Whothat Retailers, a clothing retail outlet for the year ended 31 March 2021: Credit purchases R330 000 Credit sales R590 000 R87 500 Opening stock Closing stock R75 000 Debtors R98 500 Creditors R41 000 Required: Calculate the length of the working capital cycle by making use of the ratios, days stock on hand (inventory); debtors collection period (receivables) and creditors (payables) settlement period. (12)