For homework Problem 32 in Chapter 15, the Tech power plant wants to keep a 7- to 10-day supply of coal on hand at all times. It takes 3 days to transport coal by railroad from the coalfields, and the cost of shipping and handling coal by rail is $19.50 per ton. Using the linear trend line forecast for coal consumption at the Tech power plant for the coming year from Problem 32 in Chapter 15, and if the annual handling and storage cost at the Tech power plant is $47 per ton, determine the power plant’s ordering policy and total annual inventory cost.

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