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The Trektronics store begins each week with 380 phasers in stock. This stock is depleted each week and reordered. The carrying cost per phaser is
The Trektronics store begins each week with 380 phasers in stock. This stock is depleted each week and reordered. The carrying cost per phaser is $31 per year and the fixed order cost is $325. |
a. | What is the current total carrying cost? (Do not round intermediate calculations.) |
b. | What is the current restocking cost? (Do not round intermediate calculations.) |
c. | What is the economic order quantity? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
d. | Should the company increase or decrease its order size? |
e. | How many orders per year will Trektronics place under the new policy? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
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