Question
A local nursery, Greens, uses 1560 bags of plant food annually. Greens works 52 weeks per year. It costs $10 to place an order for
A local nursery, Greens, uses 1560 bags of plant food annually. Greens works 52 weeks per year. It costs $10 to place an order for plant food. The annual holding cost rate is $5 per bag. Lead time is one week.
(a) Calculate the economic order quantity.
(b) Calculate the total annual costs.
(c) Determine the reorder point.
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Information Technology Project Management
Authors: Kathy Schwalbe
6th Edition
978-111122175, 1133172393, 9780324786927, 1111221758, 9781133172390, 324786921, 978-1133153726
