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Joe Birra needs to purchase malt for his microbrewery production. His supplier charges $ 4 0 per delivery ( no matter how much is delivered
Joe Birra needs to purchase malt for his microbrewery production. His supplier charges $ per delivery no matter how much is delivered and $ per gallon. Joes annual holding cost per unit is percent of the price per gallon. Joe uses gallons of malt per week. How many gallons should Joe order from his supplier with each order to minimize the sum of the ordering and holding costs?
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