11 A drug store sells 30 bottles of antibiotics per week. Each time it orders antibiotics, there...
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11 A drug store sells 30 bottles of antibiotics per week.
Each time it orders antibiotics, there is a fixed ordering cost of $10 and a cost of $10/bottle. Assume that the annual holding cost is 20% of the cost of a bottle of antibiotics, and suppose antibiotics spoil and cannot be sold if they spend more than one week in inventory. When the drug store places an order, how many bottles of antibiotics should be ordered?
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Operations Research Applications And Algorithms
ISBN: 9780534380588
4th Edition
Authors: Wayne L. Winston
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