QUESTION THREE $[10]3\mathrm{.}1$ Explain the meaning of the term economic order quantity $($EOQ$)$ and explain the significance of calculating this value. $(2)3\mathrm{.}2$ A company that sells spares for the motor and taxi industry runs a mail$-$order business for taxi headlights. Annual demand for the headlights is $8000$ units. The annual holding cost per unit is R$300$ and the cost to place an order is R$80.$ Calculate the EOQ. $(3)23\mathrm{.}3$ Given the following information: $$ Normal usage or average requirement: $800$ units per day $$ Maximum usage: $1000$ units per day $$ Minimum usage: $600$ units per day $$ Re$-$order period: One month $(30$ days$)$ Time required to receive emergency supplies: $5$ days Calculate each of the following: $3\mathrm{.}3\mathrm{.}1$ Ordering point $(3)3\mathrm{.}3\mathrm{.}2$ Minimum limit$/$level $(2)$