Question: A component used in a manufacturing facility is ordered from an outside supplier. Because the component is used in a variety of end products, the

A component used in a manufacturing facility is

A component used in a manufacturing facility is ordered from an outside supplier. Because the component is used in a variety of end products, the demand is high. Estimated demand (in thousands) over the next 10 weeks is below: Week 1 12 3 4 6 17 18 9 10 Demand 22 34 32 12 18 8 44 54 16 76 30 The components cost 65 cents each and the interest rate used to compute the holding cost is 0.5 percent per week. The fixed order cost is estimated to be $200. (Hint: express has the holding cost per thousand units.) d. What ordering policy is recommended by the lowest-cost policy for this

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