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To reduce inventory levels while keeping the total number of orders per year the same, we should optimize the order sizes to align with the Economic Order Quantity (EOQ) model. The EOQ formula is given by: \[ EOQ = \sqrt{\frac{2DS}{H}} \] where: - \(D\) = Annual demand - \(S\) = Ordering cost per order - \(H\) = Holding cost per unit per year Since ordering cost and holding cost are not given, we assume that the best way to keep the same number of orders while reducing inventory is to proportionally distribute the total demand more efficiently across the orders. ### Step-by-Step Approach: 1. ____ _________ _____ ______ _________ __________ ______ __________.
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