Queen Manufacturing uses 3,900 switch assemblies per week and then reorders another 3,900. If the relevant carrying

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Queen Manufacturing uses 3,900 switch assemblies per week and then reorders another 3,900. If the relevant carrying cost per switch assembly is $6.25, and the fixed order cost is $1,400, is the company’s inventory policy optimal? Why or why not?

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Fundamentals Of Corporate Finance

ISBN: 9781265553609

13th Edition

Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan

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Question Posted: Aug 24, 2021 07:09 AM

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Queen Manufacturing uses 3,900 switch assemblies per week and then reorders another 3,900. If the relevant carrying

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To find the optimal inventory policy we need to find the Economic Order ...View the full answer

Fundamentals Of Corporate Finance

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