A jeweler purchases silver for use in its products. The firm uses 180 grams of silver...

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A jeweler purchases silver for use in its products. The firm uses 180 grams of silver per week and purchases silver for $2.6 per gram from a supplier. The cost to hold one gram of silver in inventory for one year is $0.52. Each time the firm orders silver from the supplier. the firm must pay an order processing charge of $12. What is the optimal order quantity (in grams)? Note: Assume there are 52 weeks in a year and round your answer to the nearest integer value. A jeweler purchases silver for use in its products. The firm uses 180 grams of silver per week and purchases silver for $2.6 per gram from a supplier. The cost to hold one gram of silver in inventory for one year is $0.52. Each time the firm orders silver from the supplier. the firm must pay an order processing charge of $12. What is the optimal order quantity (in grams)? Note: Assume there are 52 weeks in a year and round your answer to the nearest integer value. A jeweler purchases silver for use in its products. The firm uses 180 grams of silver per week and purchases silver for $2.6 per gram from a supplier. The cost to hold one gram of silver in inventory for one year is $0.52. Each time the firm orders silver from the supplier. the firm must pay an order processing charge of $12. What is the optimal order quantity (in grams)? Note: Assume there are 52 weeks in a year and round your answer to the nearest integer value. A jeweler purchases silver for use in its products. The firm uses 180 grams of silver per week and purchases silver for $2.6 per gram from a supplier. The cost to hold one gram of silver in inventory for one year is $0.52. Each time the firm orders silver from the supplier. the firm must pay an order processing charge of $12. What is the optimal order quantity (in grams)? Note: Assume there are 52 weeks in a year and round your answer to the nearest integer value.

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Answer To determine the optimal order quantity we need to consider the total cost of holding inventory which includes the cost of the silver itself and the cost of holding it for one year We also need ... View the full answer