Big Break Billiards sells 100 pool tables per year. To reorder, there is a fixed cost of $40 per shipment plus $16 for each pool table. It costs $20 to store one pool table for a year, where storage cost is based on the average number of tables in storage.

Define your variables in words.

x=

r=

Find the Inventory Cost as a function of the number of pool tables.

Use methods of Calculus taught this week to minimize the Inventory Cost: How many times per year should the store order pool tables, and in what lot size, in order to minimize inventory costs?

Minimum Inventory cost_________________________________

Work:

Define your variables in numbers and units.

X=__________________________

Work:

R=__________________________

Work:

Use the number line proof to show that you have minimized the inventory cost.

Answer rating: 100% (QA)

Given Amnual demand 100 units fined Ordeving Cost a f 40 per Ovder inventory C... View the full answer