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A printing company buys its paper supplies in rolls of 1 , 5 0 0 pounds. The cost per roll is $ 8 0 0

A printing company buys its paper supplies in rolls of 1,500 pounds. The cost per roll is $800, and the annual requirement is 2,500 rolls. Each order costs $50 to process and the annual holding cost per roll is 15% of a roll cost. What is the total annual cycle-inventory cost for the companys current policy? (using EOQ as ordering lot size)

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