Answered step by step
Verified Expert Solution
Question
1 Approved Answer
help part A and part B please B) What is the total cost of this policy? Total annual cost of ordering optimal size= $____ (round
help part A and part B please
Rocky Mountain Tre Center selis 9,000 go-cart tires per year. The ordering cost for each order is $40, and the holding cost is 30% of the purchase price of the tires per year. The purchase price is $22 per tire if fewer than 200 tires are ordered, $16 per fire if 200 or more-but fower than 8,000 - tires are ordered, and $13 per tire if 8,000 or more tires are ordered. a) How many tires should Rocky Mountain order each time it places an order? Rocky Mountain's optimal order quantity is units (enter your response as a whole number) B) What is the total cost of this policy? Total annual cost of ordering optimal size= $____ (round your response to the nearest whole number)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started