thru 10) For supply item ABC, Andrews Company has been ordering 125 units based on the recommendation of the salesperson who calls on the company monthly. A new purchasing agent has been hired by the company that wants to start using the economic-order-quantity method and its supporting decision elements. She has gathered the following information:

Annual demand in units	250
Days used per year	250
Lead time, in days	10
Ordering costs	$100
Annual unit carrying costs	$20

Required:

Determine the EOQ, average inventory, orders per year, average daily demand, reorder point, annual ordering costs, and annual carrying costs.

EOQ =

Average inventory =

Orders per year =

Average daily demand =

Reorder point =

Annual ordering costs =

Annual carrying costs =