Question: A large auto repair shop has been purchasing windshields for their cars at the rate of 250 windshields per order. The firm estimates that carrying

A large auto repair shop has been purchasing windshields for their cars at the rate of 250 windshields per order. The firm estimates that carrying (or holding) cost is $24 per year and that ordering cost is about $275 per order. The current price of each windshield is $200. The assumptions of the basic EOQ model apply. For what annual demand is their current action optimal?

Units per order	250 units
Holding cost	$24 per unit per year
Order Cost	$275 per order
Product Cost	$200 per unit

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