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Demand for a leather tote bag at Leatherology is constant at 6 , 7 2 3 units per year. Leatherology purchases the bags from its

Demand for a leather tote bag at Leatherology is constant at 6,723 units per year. Leatherology purchases the bags from its supplier for a cost of $55 per unit. The lead time to receive an order from the supplier is 5 days. Leatherology incurs a fixed order cost of $2,462 each time it places an order regardless of the number of units ordered. The holding cost per unit per year is 20% of the per unit purchase cost. Leatherology currently orders 442 units each time it places an order. Assume the firm operates 7 days per week, 52 weeks per year, and 364 days per year.
Calculate the optimal order quantity.
Carry your calculations to at least 3 decimal places.
Enter your answer rounded to one decimal place (nearest tenth).

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