The Trektronics store begins each month with 600 phasers in stock. This stock is depleted each month and reordered. The carrying cost per phaser is $25 per year and the fixed order cost is $505. (Enter your answer as directed, but do not round intermediate calculations.)

Requirement 1:

What is the total carrying cost?

Carrying costs

$

Requirement 2:

What is the restocking cost?

Restocking costs

$

Requirement 3:

Calculate the economic order quantity. (Round your answer to 2 decimal places (e.g., 32.16).)

Economic order quantity

Requirement 4:

Calculate the optimal number of orders per year. (Round your answer to 2 decimal places (e.g., 32.16).)

Number of orders per year

Requirement 5:

Should the company increase or decrease its order size?

(Click to select)IncreaseDecrease