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1.) ABC company makes 83 orders of chairs in a year and orders 2,359 chairs each time. The fixed order costs are $299.11 per order and the carrying cost per unit is $54.85. The chairs are sold out before they are restocked. What are the shortage costs if the company orders the optimal quantity (Economic Order Quantity)?

Enter your answer rounded off to two decimal points. Do not enter comma or $ in the answer box.

2.) ABC Company sells 37,896 chairs a year at an average price per chair of $18.01. The carrying cost per unit is $18.76. The company orders 270 chairs at a time and has a fixed order cost of $194 per order. The chairs are sold out before they are restocked. What are the total costs if the company orders the optimal quantity (Economic Order Quantity)?

Enter your answer rounded off to two decimal points. Do not enter comma or $ in the answer box.

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