HW Ch 12: Inventory Management i Saved 4 Problem 7-6 (Algo)Rev Foods Galore is a major distributor to restaurants and other institutional food users. 2 points Foods Galore buys cereal from a manufacturer for $23 per case. Annual demand for cereal is 262,500 cases, and the company believes that the demand is constant at 1,050 cases per day for each of the 250 days per year that it is open for business. Average lead time from the supplier for replenishment orders is six days, and the company believes that it is also constant. The purchasing agent at Foods Galore believes that annual inventory carrying cost is 20 percent and that it costs $42 to prepare, send, and receive an order. Use Table 7-2. eBook a. How many cases of cereal should Foods Galore order each time it places an order? (Round your answer to the nearest whole number.) Hint Economic order quantity 2,189 cases Print References b. What will be the average inventory? (Round your answer to 1 decimal place.) Average inventory 1,094.7 cases c. What will be the inventory turnover rate? (Round your answer to 1 decimal place.) Inventory turnover 239.8 times per year d. Calculate the total annual cost based on a product cost of $23/unit. (Include the product cost in your total. Do not round intermediate calculations. Round your answer to 2 decimal places.) Total annual cost