Problem 2 (10 points) Refer to Tab 2 in the Excel file. The tab contains data for PDQ Industries, a process manufacturer. This company use a specialty chemical in its manufacturing process. The company operates 24/7, 365 days a year and consumes this chemical at a rate of 10,000 gallon per year. The chemical is delivered in barrels that are 31.5 gallons each. PDQ currently orders 15 barrels of the chemical whenever the on-hand supply reaches 63 gallons (2 barrels). The supplier delivers the order in 2 days at a delivery cost of $250. The chemical costs $32 per gallon. The annual holding cost is estimated at 12% of the items value. OMGT 3123 . . . Do the following: Calculate the annual ordering cost, holding cost, and total inventory management cost based on the current inventory policy. Complete the table that shows ordering, holding and total cost as function of order quantities ranging from 100 to 2000 gallons. Paste the table into your template. Create a graph that shows ordering, holding and total cost as function of order quantities ranging from 100 to 2000 gallons. Make sure to properly label your graph. Paste the graph into your template. Determine the economic order quantity in gallons. Based on the barrel-based ordering limitation determine how many barrels should the company order each time it places an order. Calculate how much will PDQ save in total inventory cost by ordering in this quantity and record that number in the template. . . . A B c D E F G G H H 1 J 1 2 3 10,000 $ 250.00 $ 32.00 31.5 4 Annual Demand (D) (gallons) Order Cost (5) Price per gallon Gallons per Barrel Price per barrel Holding cost rate Holding Cost per Gallon(H) 5 6 12% 7 8 9 Annual Holding Cost Annual IM Costs 10 11 12 Q (gallons) Annual Order Cost 100 200 300 400 13 14 15 16 500 600 700 800 17 18 19 20 21 22 23 24 25 900 1000 1100 1200 1300 1400 1500 1600 1700 1800 26 27 28 29 30 31 1900 2000 32 33 34 35 36 37 38 39 40 41 42