Question: An SKU costing $ 1 0 is ordered in quantities of 5 0 0 units, annual demand is 5 2 0 0 units, carrying costs

An SKU costing $10 is ordered in quantities of 500 units, annual demand is 5200 units, carrying costs are 20%, and the cost of placing an order is $50. Calculate the following:
a. Average inventory.
b. Number of orders placed per year. c. Annual inventory carrying cost. d. Annual ordering cost.
e. Annual total cost.

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