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Tom Bergman, owner and operator of the Earplug Superstore, is reviewing the costs associated with the store's best-selling hearing aid, the BZ15. The data
Tom Bergman, owner and operator of the Earplug Superstore, is reviewing the costs associated with the store's best-selling hearing aid, the BZ15. The data available to Dr. Bergman concerning this device follow. Demand = 25 units/week - Order cost = $3/order Holding cost = $1.50/unit/year The Earplug Superstore operates 52 weeks a year. If Tom decides to order at the economic order quantity, what is the TBO?
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Annual demand A Demand per week x Number of weeks 25 units x ...
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Financial Management Principles and Applications
Authors: Sheridan Titman, Arthur Keown, John Martin
12th edition
133423824, 978-0133423822
