The following information applies to the questions displayed below] chemical is purchased in 10-pound canisters for $114 each. The firm uses 5,600 canisters per year. The estimates that it costs $169 to place and receive a typical order of XL-20. The annual cost of storing XL-20 is $5.90 per Required: 3. What is the total annual cost of ordering and storing XL-20 at the economic order quantity? 4. How many orders will be placed per year? 5. Fiber was $38.20 per canister. Turnbull then met with Doug Kaplan, Fiber computed the new EOQ for XL-20. b. How many orders will be placed per year? Use the EOQ to Required information The following information applies to the questions displayed below) Fiber Technology, Inc, manufactures glass fibers used in the communications industry. The company's materials and parts manager is currently revising the inventory policy for XL-20, one of the chemicals used in the production process. The 1 of 3 chemical is purchased in 10-pound canisters for $114 each. The firm uses 5,600 canisters per year. The controller estimates that it costs $169 to place and receive a typical order of XL-20. The annual cost of storing XL-20 is $5.90 per canister. Required: 2 Use the EOQ formula to determine the optimal order quantity 3. What is the total annual cost of ordering and storing XL-20 at the economic order quantity? 4. How many orders will be placed per year? s controller, Jay Turnbull, recently attended a seminar on JIT purchasing. Afterward he analyzed the cost of storing XL-20, including the costs of wasted space and inefficiency. He was shocked when he concluded that the real annual holding cost was $38.20 per canister. Turnbull then met with Doug Kaplan, Fiber Technology' Reno Industries, the supplier of XL-20, about a JIT purchasing arrangement. After some discussion and negotiation, Kaplan concluded that the cost of placing an order for XL-20 could be reduced to just $39. Using these new cost estimates, Turnbul computed the new EOQ for XL-20 s purchasing manager. Together they contacted a. Use the equation approach to compute the new EOQ. b. How many orders will be placed per year? ferences Complete this question by entering your answers in the tabs below What is the total annual cost of ordering and storing and final answer to nearest whole number.) XL-20 at the economic order quantity? (Round intermediate The following information applies to the questions displayed below glass fibers used in the c estimates that it costs $169 to place and receive a typical order of XL-20. The annual cost of storing XL-20 is $5.90 per Required: 2. Use the EOQ formula to determine the optimal order quantity. 3. What is the total annual cost of ordering and storing XL-20 at the economic order quantity? 4. How many orders will be placed per year? 5. Fiber cost of storing XL-20 was $38.20 per canister. Turnbull then met with Doug Kaplan, Fiber computed the new EOQ for XL-20 b. How many orders will be placed per year? that the cost of placing an order for XL-20 could be reduced to just $39. Using these new cost estimates Turnbull and final estimates that it costs $169 to place and receive a typical order of XL-20. The annual cost of storing XL-20 is $5.90 per canister 2 Use the EOQ formula to determine the optimal order quantity. 3. What is the total annual cost of 4. How many orders will be placed per year? g and storing XL-20 at the economic order quantity? XL-20. was $38.20 per canister. Turnbull then met with Doug Kaplan, Fiber of XL-20, about a JIT purchasing After some discussion and negotiation, Kaplan concluded that the cost of placing an order for XL-20 could be reduced to just $39. Using these new cost estimates, Turnbull computed the new EOQ for XL-20 b. How many orders will be placed per year? Fiber holding cost was $38.20 per that the cost of placing an order for XL-20 could be reduced to just $39.00. Using these new a. Use the equation approach to compute the new EOQ. (Round your answer to nearest whole number.) b. How many orders will be placed per year? (Round your answer to nearest whole number.)