OPEN CAMPUSDiscussion Question _ Week 5_Inventory ControlPart ANev Mac Enterprise sells a product that cost $200 per unit and has a monthly demand of 500units. The annual holding cost per unit is calculated as 2% of the unit purchase price. It costs thebusiness $30 to place a single order. The EOQ model is appropriate.i)Determine the highest number of units that should be purchased by the business.
ii)What is the number of orders to be placed each year for this product?
iii)Compute the average annual ordering cost
iv)Compute the average annual carrying cost
v)What is the cost minimizing solution for this product each year in total stock administration