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Guitar Center (GC) purchases USB audio interface units from its supplier for a cost of $169 per unit. The lead time to receive an order
Guitar Center (GC) purchases USB audio interface units from its supplier for a cost of $169 per unit. The lead time to receive an order from the supplier is 17 days. Guitar Center incurs a fixed order cost of $1,883 each time it places an order regardless of the number of units ordered. Demand for the audio interface units at the warehouse is constant at 350 units per week. The holding cost per unit per year at the DC is 26% of the per unit purchase cost. Guitar Center currently orders 898 units in each order. Assume Guitar Center operates 7 days per week, 52 weeks per year, and 364 days per year
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