Problem 18-23 (Algo) After using your forecasting model for six months, you decide to test it using MAD and a tracking signal. Here are the forecast and actual demands for the six-month period: FORECAST PERIOD May June July August September October 420 470 530 615 645 735 ACTUAL 495 540 395 505 700 570 a. Find the tracking signal. (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) Period May June July August September October Tracking Signal 1.00 2.00 0.07 (1.10) -81 (1.27) Problem 20-15 (Algo) Given the following information, formulate an inventory management system. The item is demanded 50 weeks a year. Item cost Order cost Annual holding cost (!) Annual demand Average demand $ 8.00 $183.00 /order 28 of item cont 25,900 units 518 /week Standard deviation of weekly demand Lead time Service probability 20 units 3 week 986 a. Determine the order quantity and reorder point. (Use Excel's NORMSINV() function to find your z-value and then round that z- value to 2 decimal places. Do not round any other intermediate calculations. Round your final answers to the nearest whole number.) Optimal order quantity Reorder point 1,840 units 1,575 units b. Determine the annual holding and order costs. (Do not round any intermediate calculations. Round your final answers to 2 decimal places.) $ 2.24 Holding cost Ordering cost $ 2,057.15 C. Assume a price break of $60 per order was offered for purchase quantities of 2,100 units per order. If you took advantage of this price break, how much would you save annually? (Do not round any intermediate calculations (including number of setups per year). Round your final answer to 2 decimal places.) Annual savings