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The Double R Diner uses 30 bags of flour every week. The diner is open 52 weeks per year and it costs $10 to place
The Double R Diner uses 30 bags of flour every week. The diner is open 52 weeks per year and it costs $10 to place an order. Each bag of flour costs $8. The diner estimates its annual holding cost to be 15%. a. (4 points) Calculate the total annual cost using the EOQ. b. (4 points) If the lead time is 2 weeks, determine the reorder point. c. (4 points) If the lead time is 8 weeks, determine the reorder point
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