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4) Nike sells 1,000,000 basketballs annually. The baseballs cost Nike $180 per dozen ($15.00 each). Annual inventory carrying costs are 20% of inventory value and

4) Nike sells 1,000,000 basketballs annually. The baseballs cost Nike $180 per dozen ($15.00 each). Annual inventory carrying costs are 20% of inventory value and the cost of placing and receiving an order are $150. Determine the:

A) Economic Order Quantity

B) Total annual inventory costs of this policy

C) Optimal ordering frequency

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