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ABC Company purchases 8,000 transistors every year for use in manufacturing minicomputers. The unit price of transistor is 10 TL and the cost of storing
ABC Company purchases 8,000 transistors every year for use in manufacturing minicomputers. The unit price of transistor is 10 TL and the cost of storing one unit transistor is 3 TL. The cost of ordering is 30 TL. Calculate the optimal order quantity, the number of orders in a year, the expected time between orders (stock cycle), the reorder point, reorder point time and the total cost. ABC Companyassumes 200 working days a year and lead time is 5 days.
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