please help with these two practice problems!

Management Science Inventory Models Sample/Practice Problems Show all work. Failure to do so will lead to points being deducted. Sample problem with calculations Suppose that Green's liquor store (Columbia, SC) is selling cases of Corona for $26.49 (U.S.), which is its wholesale cost per case. Let's say there is an annual demand rate of 3600 cases. Ordering costs are $20 per order and holding costs are 25% of the value of the inventory. There are 363 working days and the lead time is 2 days. Identify the following aspects of inventory policy and mazagement a)Economic Order Quantity (E00) b) Reorder Point c)Cycle Time (reported in days) d) Total Annual Cost Assumptions: Constant Rate Demand (1. Demand for products stay the same. 2. Amount used from inventory stays the same) Entire quantity ordered arrives in the inventory at one point in time Cost (C) - $26.49 Demand (D) - 3600 cases Ordering Costs (Co) - $20 Holding Cost Rate (1) - 25 Working Days - 363 Lead Time - 2 Q-number of units ordered 2DCO 2[(3600) 20] 144000 a)Q* - EOQ (economic order quantity Ch 6.62 6.62 model) Q = 147,48 amount of cases of beer that should be ordered to minimize costs (answers how much to order question) G - IC (This is used to calculate holding costs) - 25 (26.49) G-56.62 (plug into ) Note: the tools in b) and e) answer the When To Order question b)Reorder Points (where d is demand per day; m is the lead time) dm (3600/363) 2 (9.9) 2 - 19.8 of 20 (should reorder at 20 cases) (answers the when to order question) c)Cycle Time (reported in days) T = days T= 250 Q*/ D (standard formula) (Use if no working days are specified in the problem) T=363 Q*/D (formula the Green's liquor store problem) T = 363 (147)/3600 T=53361/3600 T-14.82 or 15 (should reorder every 15 days or so) (answers the when to order question) d) TC = (1/2 Q") Ch+(D/Q") Co (Total Annual Inventory Costs) TC - [.5 (147.48)] 6.62 + (3600 / 147.48) 20 TC - (73.74) 6.62 + (24.41) 20 TC = 488.15+ 488.2 TC - $976.35 (minimum total annual inventory costs) Practice Problems (100 points) 1. Auto Zone purchases replacement brake fluid reservoirs directly from the manufacturer. Demand is roughly 1000 units per month over the year. Ordering costs are $25 per order and the reservoirs are $10.00 per unit. Annual holding costs are 20% of the value of the inventory. There are 311 working days per year and the lead time is 5 days. Address the following inventory management issues that need to be resolved. a)What is the EOQ for this this component? b)What is the reorder point? c)What is the cycle time? d)What is the total annual holding and ordering costs associated with your recommended EOQ? 2.Best Buy electronics sells one of its high-end TVs for $600 (60 inch) a unit. The annual cost rate is 22%. Ordering costs are estimated to be $70 per order. a)If demand is 20 units a month, what is the recommended order quantity? b)What is the estimated annual inventory holding and ordering costs associated with this product? c)How many orders will be placed per year? d)With 311 working days per year, what is the cycle time for this product