Genuine Gems orders a full month's worth of precious stones at the beginning of every month. Over

Question:

Genuine Gems orders a full month's worth of precious stones at the beginning of every month. Over the course of the month, it sells off its stock, at which point it restocks inventory for the following month. It sells 200 gems per month, and the monthly carrying cost is $1 per gem. The fixed order cost is $20 per order. Should the firm adjust its inventory policy? If so, should it order smaller stocks more frequently or large r stocks less frequently?

Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing...