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Thomas Kratzer is the purchasing manaper for the headquarters of a large insurance company chain with a central imventory operation. Thomas's fastest-moving inventory item has

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Thomas Kratzer is the purchasing manaper for the headquarters of a large insurance company chain with a central imventory operation. Thomas's fastest-moving inventory item has a dernand of 5,950 units per year. The cost of each unit is $102, and the inventory carrying cost is $8 per unit per year. The average ordering cost is $29 per order, it takes about 5 days for an order to arrive, and the demand for 1 week is 119 units: (This is a corpocate operation, and there are 250 working days per year). a) What is the EOQ? units (round your response to wo decimat placess). b) What is the average inventory it the EOQ is used? units (round your response to two decimal places). c) What is the optmal number of orders per year? orders (round your response to two decimal places) d) What is the optimal number of days in between any two orders? days (round your response to two docimal places) e) What is the annuat cost ef ordering and holding imventory? $1661.57 per year (round your response to five dicinal places). f What is the total annual inventory cost, including the cost of the 5,950 units? 1 per year (round your response to hwo docimal places)

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