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A warehouse of 6,000 square feet stocks three items. Using the item data below, find the appropriate order quanti- ties. Random access storage is


 

A warehouse of 6,000 square feet stocks three items. Using the item data below, find the appropriate order quanti- ties. Random access storage is used so that space planning can be based on average inventory levels. How much would you pay for an extra square foot of storage space? Annual Cost/ Holding Sq. Ft Item Demand Order Cost/Unit-Yr Unit 1 12,500 $150 $2.40 5.0 23 2 15,000 $ 80 $3.50 4.0 3 15,000 $ 80 $3.00 4.0 poliqu

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