Question: A company assembles several components to make a product. One of the components needed are purchased for $18.7 per unit from a manufacturer. The store

 A company assembles several components to make a product. One of

A company assembles several components to make a product. One of the components needed are purchased for $18.7 per unit from a manufacturer. The store requests the manufacturer to send a shipment every 9 weeks. The holding cost per year is 15.9 percent of the unit purchase price. The order lead time is 3 weeks. The company operates 52 weeks per year. Assume the weekly demand is constant at 95 units. Use at least 4 decimal places. What is the appropriate order quantity if the store wants to have a shipment every 9 weeks

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!