Icy Snowmobile, Inc., has an annual demand for 1,200 snowmobiles. Their purchase cost for each snowmobile is $2,500. It costs about $250 to place an order, and the holding rate is 35 percent of the unit cost. Compute the (a)
Icy Snowmobile, Inc., has an annual demand for 1,200 snowmobiles. Their purchase cost for each snowmobile is $2,500. It costs about $250 to place an order, and the holding rate is 35 percent of the unit cost. Compute the
(a) EOQ
(b) Annual holding cost
(c) Annual order cost
(d) Total annual inventory cost.
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a EOQ 26186 units b Calculate annual holding cost The calculated economic ord…View the full answer
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Posted Date: June 29, 2012 06:49:02
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