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Rocky Mountain Tire Center sells 1 4 0 0 0 go - cart tires per year. The ordering cost for each order is $ 4
Rocky Mountain Tire Center sells gocart tires per year. The ordering cost for each order is $ and the holding cost is of the purchase price of the tires per year. The purchase price is $ per tire if fewer than tires are ordered, $ per tire if or more but fewer than tires are ordered, and $ per tire if or more tires are ordered.
Part
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
Part
b What is the total cost of this policy?
Total annual cost of ordering optimal order size$
round your response to the nearest whole number
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