1) Given the information below, what is the EOQ? (Round your answer to the nearest whole number)

Annual Demand = 10,000 units

Days per year considered in average daily demand= 365

Cost to place an order = $10

Holding cost per unit per year = 10% of cost per unit

Lead time = 7 days

Cost per unit = $15

2) Given the following information, calculate Reorder point. (Round your answer to nearest whole number. To help you, I always allow a range to be accepted as an answer to account for rounding errors)

Expected Annual Demand = 10,000 units

Days per year considered in average daily demand = 365

Cost to place an order = $10

Holding cost per unit per year = 10% of cost per unit

Lead time = 10 days

Cost per unit = $15

Standard deviation of daily demand = 7.9 units

Stockout risk = 5%