The Trektronics store begins each week with 380 phasers in stock. This stock is depleted each week
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The Trektronics store begins each week with 380 phasers in stock. This stock is depleted each week and reordered. If the carrying cost per phaser is $31 per year and the fixed order cost is $325, what is the total carrying cost? What is the restocking cost? Should the company increase or decrease its order size? Describe an optimal inventory policy for the company in terms of order size and order frequency.
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The total carrying cost is 11 780 31 x 380 ph asers The res...View the full answer
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Fundamentals Of Corporate Finance
ISBN: 9781265553609
13th Edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
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