Question: Bill Maze, recently hired by Custom Computers, Inc., has suggested using the economic order quantity for the heat sinks. Using the information in Problem 9,

Bill Maze, recently hired by Custom Computers, Inc., has suggested using the economic order quantity for the heat sinks. Using the information in Problem 9, calculate the following:

(a) Economic order quantity

(b) Average inventory level

(c) The number of orders placed per year

(d) The total annual ordering cost

(e) The total annual holding cost

(f) The total annual cost

Compare these results with the costs calculated in Problems 9 and 10.


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a 41633 units b Average inventory level Q 2 416332 2082 units c Number of orders placed ... View full answer

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