X Co. has been buying product XXX in lots of 1,250 units which represents a three month's supply. The cost per unit is 220. The order cost is P900 per order, and the annual inventory carrying cost per one unit is P25. Assume that the units will be required throughout the year.

Required: Determine the following:

a. Economic Order Quantity

b. Number of Orders in a Year

c. Average Inventory based on Economic Order Quantity

d. Total Carrying Cost, Ordering Cost, and Relevant Inventory Costs at Economic Order Quantity

e. Total Relevant Inventory Costs for Order Sizes of 2,000 units, 1,000 units, 600 units, 250 units, and 100 units

Provide solution.