Answered step by step
Verified Expert Solution
Question
1 Approved Answer
1.) Davis Supply maintains an average inventory of 2,000 dinosaur skulls for sale to filmmakers. The carrying cost per skull per year is estimated to
1.) Davis Supply maintains an average inventory of 2,000 dinosaur skulls for sale to filmmakers. The carrying cost per skull per year is estimated to be $150.00 and the fixed order cost is $81. What is the economic order quantity (EOQ)? (Round to the nearest whole number.)
2.) Hammond Supplies expects sales of 199,172 units per year with carrying costs of $2.4 per unit and ordering cost of $8.16 per order. Assuming the level of inventory is stable, what is the optimal average number of units in inventory?
Round to the nearest whole number.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started