42 The following table shows the inventory data for the six items stocked by Apex Enterprises: ITEM...

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42 The following table shows the inventory data for the six items stocked by Apex Enterprises:

ITEM CODE UNIT COST ANNUAL DEMAND

(units)

ORDERING COST CARRYING COST AS A PERCENTAGE OF UNIT COST 1 $150.00 560 $40 15 2 $ 4.10 490 $40 17 3 $ 2.25 500 $50 15 4 $ 10.60 600 $40 20 5 $ 4.00 540 $35 16 6 $ 11.00 450 $30 25 Lynn Robinson, Apex’s inventory manager, does not feel that all the items can be controlled.

What ordered quantities do you recommend for which inventory product(s)?

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