Annual demand for an item is 40000 units. The holding cost rate is 30% of the

Annual demand for an item is 40000 units. The holding cost rate is 30% of the
item cost. Ordering costs are $60/ order. Quantity discounts are available according to the schedule below:

Quantity Price per Unit
($)

1-99 90.00

100-299 85.00

300-399 80.00

400+ 78.00

What is the optimal order quantity (select the closest number) ?

99

100

379

400

453

From the previous problem what is the total annual inventory cost of your
policy (select the closest number)?

$3130598

$3926755

$4263180

$4932430

Continued from the previous 2 problems. Assume 52 five-day weeks per year. If
the lead-time is 5 weeks what should the reorder point be (select the closest number)?

1005

2885

2999

3847