An Adidas retail store in Berlin sells 650 jackets each month. Each jacket costs the store €80 and the company has an annual holding cost of 30 percent. The fixed cost of a replenishment order (including transportation) is €60. The store currently places a replenishment order every month for 550 jackets. What is the annual holding and ordering cost? On average, how long does a jacket spend in inventory? If the retail store wants to minimize ordering and holding costs, what order size do you recommend? How much would the optimal order reduce holding and ordering cost relative to the current policy?