Question: A local distributor expects to sell 9 , 6 0 0 units of an electrical device per year. These electrical devices are purchased from a
A local distributor expects to sell units of an electrical device per year. These electrical devices are purchased from a supplier in a different state. The following information is known about the problem:
Annual demand, D units
Holding cost per unit per year, H $
Ordering cost per order, S $
Number of working days per year
Write your final answer only without intermediate steps for the fillintheblank questions.
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The economic order quantity EOQ
units. Round the final answer if it is not an integer to the nearest integer.
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Based on the EOQ, the average inventory
units. Round the final answer if it is not an integer to the nearest integer.
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The optimal number of orders per year
orders. Round the final answer if it is not an integer to the nearest integer.
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Total annual inventory cost excluding the purchase cost $
Round the final answer if it is not an integer to the nearest integer.
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If the management decides to order units instead of the EOQ quantity obtained above per order, the total annual inventory cost excluding the purchase cost $
Round the final answer if it is not an integer to the nearest integer.
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