Rosen Inc. has a monthly demand of 80 airport metal detectors. The unit cost of a...

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Rosen Inc. has a monthly demand of 80 airport metal detectors. The unit cost of a typical detector is $333.00. Holding cost is estimated to be 15.5% of the unit cost, and the ordering cost is $25 per order. a. What is the optimal order quantity (EOQ), given the current ordering policy (without price breaks)? [Select] b. What is the total cost of the current ordering policy (including the unit cost? [Select] If Susan Rosen, the owner, orders in quantities of 360 or more she can get a 7% discount on the cost of the detectors. c. What price should Rosen pay per unit, considering the discount? $ [Select] d. What is the total cost at the discounted behavior? $ [Select] e. What option should Rosen choose? [Select] Rosen Inc. has a monthly demand of 80 airport metal detectors. The unit cost of a typical detector is $333.00. Holding cost is estimated to be 15.5% of the unit cost, and the ordering cost is $25 per order. a. What is the optimal order quantity (EOQ), given the current ordering policy (without price breaks)? [Select] b. What is the total cost of the current ordering policy (including the unit cost? [Select] If Susan Rosen, the owner, orders in quantities of 360 or more she can get a 7% discount on the cost of the detectors. c. What price should Rosen pay per unit, considering the discount? $ [Select] d. What is the total cost at the discounted behavior? $ [Select] e. What option should Rosen choose? [Select]

Answer rating: 100% (QA)

To answer these questions we can use the Economic Order Quantity EOQ model and take into account the ... View the full answer