Question: A sporting goods store sells 140 pool tables per year. It costs $50 to store one pool table for a year. Toreorder, there is a
A sporting goods store sells 140 pool tables per year. It costs $50 to store one pool table for a year. Toreorder, there is a fixed cost of $35 per shipment plus $19 for each pool table. How many times per year should the store order pooltables, and in what lotsize, in order to minimize inventorycosts?
The store should order
nothing
pool tables
nothing
times per year to minimize inventory costs.
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