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Nissan orders TunnelFire all - weather brand tires for its Nissan Leafs, where 4 tires ( 1 set ) are used per car. Nissan pays
Nissan orders TunnelFire allweather brand tires for its Nissan Leafs, where tires
set are used per car. Nissan pays $ for each tire and estimates that the annual holding
cost is of each tires value. It costs approximately $ to place an order clerical costs
Nissan currently orders sets of tires per order. Use the demandsale observations in the
past months to estimate the annual demand.
a Determine all relevant costs for the current order quantity denoted as COQ
b Then, calculate the EOQ as w
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