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A large retail store buys soap from a supplier. The monthly demand of the soap averages 2 , 7 0 0 , 0 0 0
A large retail store buys soap from a supplier. The monthly demand of the soap averages units per year. Ordering is done by computer and is estimated to cost $ including the cost of a quick inventory and payment transfer. The company has determined that its inventory carrying cost for soap is per year. The product is valued at the suppliers facility at $ for each unit. The supplier charges $ per unit of soap to have them shipped to the retail firms distribution center. What is the recommended economic order quantity for this product? Show all of your calculations
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