In Problem 1 in Chapter 15, the Saki motorcycle dealer in Minneapolis–St. Paul orders the Saki Super TXII motorcycle it sells from the manufacturer in Japan. Using the 3-month moving average forecast of demand for January as the monthly forecast for the next year, an annual carrying cost of $375, an ordering cost of $3,200, and a lead time for receiving an order of 1 month, determine the optimal order size, the minimum total annual inventory cost, the optimal time between orders, the number of orders, and the reorder point.

 LO.1