CLASS PROBLEM $6.$

An SKU costing $$10$ is ordered in quantities of $500$ units, annual demand is $5200$ units, carrying cost are $20\%,$ and the cost of placing an order is $$50.$ Calculate the following:

a$)$ Average inventory

b$)$ Number of orders placed per year

c$)$ Annual inventory$-$carrying cost

d$)$ Annual ordering cost

e$)$ Annual total cost