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Handwritten solution not required correct answer will get instant upvote Millennium Liquors is a wholesaler of sparkling wines. Its most popular product is the French
Handwritten solution not required correct answer will get instant upvote
Millennium Liquors is a wholesaler of sparkling wines. Its most popular product is the French Bete Notre, which is shipped directly from France. Weekly demand is 50 cases. Millennium purchases each case for $115, there Is a $325 fixed cost for each order (independent of the quantity ordered), and its annual holding cost is 20 percent. Assume 52 weeks per year. a. What order quantity minimizes Millennium's annual ordering and holding costs? Note: Do not round intermediate calculations. Round your answer to the nearest whole number. Order quantity cases b, If Millennium chooses to order 250 cases each time, what is the sum of its annual ordering and holding costs? Note: Do not round Intermediate calculations. Round your answer to 2 decimal places, Costs c. If Millennium chooses to order 125 cases each time, what is the sum of the ordering and holding costs Incurred by each case sold? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Costs por casoStep by Step Solution
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