Entertainment Systems $($ES$)$ Entertainment Systems $($ES$)$ is a California$-$based company that assembles and sells high$-$end entertainment systems. The systems are built using top$-$quality components, most sourced from reliable distributors across the United States. However, some of the most critical and expensive items, such as LCD screens, are directly imported from trusted Asian manufacturers. The company takes great care in ensuring that all the components are of the highest quality so that their customers can enjoy a superior entertainment experience. The ES has a relatively low volume and quality focus rather than a volume focus, which means the company cannot take advantage of quantity discounts. The current practice is to release an order for LCDs every two weeks. The demand is $70$ units per month, translating to $3$ units per working day. The LCD supplier has agreed to deliver this item within one week following the order$$s release. For this reason, ES has never had a shortage of LCDs$.$ The total time between the release date and the date of receipt is one week or five working days. Accounting has generated the following inventory$-$related costs. The procurement costs amount to $$200$ per order, including labor, transportation, receiving, inspection, and moving costs. The unit costs $$3,000.$ The holding cost is $10\%$ of the unit cost per item per year, considering storage, damage, insurance, taxes, etc. The company president recognizes the crucial role of the supply chain team in the company's operations and is expressing concern over the steep annual inventory expenses. Given the current emphasis on streamlining supply chain efficiency, the team has been tasked with evaluating the yearly total inventory costs for LCDs$.$ Special attention will be paid to inventory order quantity to identify potential cost$-$saving opportunities. He asked the team to analyze and provide the answers to the following questions. DISCUSSION QUESTIONS $($MAKE NO ASSUMPTIONS$).($Keep two decimals$)1.$

A$)$ How many units are ordered under current practice?

B$)$ What is the LCD$\text{'}$s total annual inventory cost ordering every $2$ weeks?

$2.$The total annual inventory cost if orders are released according to the optimal order quantity model

$3.$ What potential cost savings can be achieved by ordering every $2$ weeks vs$.$ the optimal quantity model?

$4.$ What is the LCD$$s $($ROP$)$ reorder point?