Question
Joe's Camera shop has a favorite model that has monthly sales of 12. The cost to place an order to replenish inventory is $25 per
Joe's Camera shop has a favorite model that has monthly sales of 12. The cost to place an order to replenish inventory is $25 per order, and annual inventory holding cost per unit is $20. Assume the store is open 350 days per year. Lead time is 10 days. Cost per unit is $12.50
a. What is the optimal order size? [ Select ]
b. What is the optimal number of orders per year? [ Select ]
c. What is the optimal number of days between orders? [ Select ]
d. What is the annual holding cost? $ e. What is the total cost, including the cost of the units? $ [ Select ]
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