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2) Site requirements = 600 tons/month for about 12 months: Ordering cost $ 40/order; Inventory carrying Cost = 20% of unit rate: Unit rate =

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2) Site requirements = 600 tons/month for about 12 months: Ordering cost $ 40/order; Inventory carrying Cost = 20% of unit rate: Unit rate = $ 100/ton; Transport capacity = 20 tons; Lead time = 4 days; Safety Stock=100 tons; Determine the EOQ. minimum stock, maximum stock and re-order level. [6]

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