4. If the company normally carries 50 bags as safety stock, determine the reorder point for the...
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4. If the company normally carries 50 bags as safety stock, determine the reorder point for the spice.
4. Benoit Corporation produces lawn chairs. In order to produce the frames for the furniture, special equipment must be set up. The setup cost per frame is $50. The cost of carrying frames in inventory is $4 per frame per year. The company produces 10,000 lawn chairs per year.
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