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The following inventory data have been established for the Cotton Tops Inc. (1) Annual sales are 600,000 units. (2) The purchase price per unit is
The following inventory data have been established for the Cotton Tops Inc. (1) Annual sales are 600,000 units. (2) The purchase price per unit is $4.50 (3) Carrying cost is 9% percent. (4) Cost per order placed is $7. (5) Desired safety stock is 30 days supply. Use this data to compute: (a) EOQ - (b) Average Inventory - (c) Maximum Inventory - (d) Optimal number of orders per year - (e) Total inventory cost -
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