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A local food processing firm uses ( demand ) 2 4 , 0 0 0 ?glass jars to produce gourmet jams and jellies per year.
A local food processing firm uses demand ?glass jars to produce gourmet jams and jellies per year. It costs the firm $ ?each time it places an order for jars with the manufacturers. The inventory holding cost is $ ?per jar per year. The stock is received ?working days after an order has been placed. No backorders are allowed. Because of space limitations ?suppose the firm orders ?jars at a time. What would be the annual cost saved by shifting from the jars order policy to the EOQ? Please round your calculations to the nearest whole number.
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