Longhorn Traders is one of the largest RV dealers in Austin, Texas, and sells about 2,800 recreational

Question:

Longhorn Traders is one of the largest RV dealers in Austin, Texas, and sells about 2,800 recreational vehicles a year. The cost of placing an order with Longhorn’s supplier is $800, and the inventory carrying costs are $150 for each RV. The company likes to maintain safety stock of 12 RVs. Most of its sales are made in either the spring or the fall. How many orders will the firm need to place this year?


Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Fundamentals of corporate finance

ISBN: 978-0470876442

2nd Edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

Question Posted: