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Sams Cat Hotel operates 52 weeks per year, 6 days per week, and uses a continuous review Inventory system. It purchases kitty litter for $11.70

Sams Cat Hotel operates 52 weeks per year, 6 days per week, and uses a continuous review Inventory system. It purchases kitty litter for $11.70 per bag. The following information is Available about these bags. What is the optimal order quantity? How often should Sam place an Order? If 1000 is the current order quantity, how much would Sam save yearly by switching to The EOQ?

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