Toyota has its engine assembly plant in Japan and its bus assembly plant in Indonesia. Engines are transported between the two plants via sea freight, with each trip costing $100,000. The bus plant assembles and sells 100 buses each day. Each engine costs $1000, and Toyota incurs a holding cost of 12% per year. (a) How many engines should Toyota load onto each shipment? What is the cycle time of inventory of engines at Toyota? (b) If the lead time to ship the engines from Japan to Indonesia is 2 weeks, what is the reorder level at the assembly plant in Indonesia (assume 7 days per week)? (c) Discuss, in not more than 500 words, the assumptions behind the calculations in Part (a) and its validity.