Cherry Co. is producing special component. The operations manager wants to determine the optimal lot size to ensure that the total annual inventory cost is minimized. The daily production rate for the component(P) is 500 units, annual demand(R) is 72'000 units, setup cost(s) is $620 per setup, and the annual holding rate (K)is 20 percent. The manager estimates that the total cost of a finished component(C) is $250. If we assume that the plant operates year-round, and there are 360 days per year, what are the (a) EMQ: optimal lot size, (Qm: highest inventory, (c) TAIC: total annual inventory cost. Cherry Co. is producing special component. The operations manager wants to determine the optimal lot size to ensure that the total annual inventory cost is minimized. The daily production rate for the component(P) is 500 units, annual demand(R) is 72'000 units, setup cost(s) is $620 per setup, and the annual holding rate (K)is 20 percent. The manager estimates that the total cost of a finished component(C) is $250. If we assume that the plant operates year-round, and there are 360 days per year, what are the (a) EMQ: optimal lot size, (Qm: highest inventory, (c) TAIC: total annual inventory cost