Question: Chuleta recently expanded its menu at their flagship Orlando location by offering the new Steak Valetta . The new addition requires a special spice
Chuleta recently expanded its menu at their flagship Orlando location by offering the new Steak Valetta The new addition requires a special spice rub made by mixing sage, lemon, fennel and garlic into a sazon base, then blending in a secret ingredient. Chuleta uses oz of the spice rub during a typical week. The rub is purchased from Caliente in San Antonio, TX Caliente sells oz spice shaker jars for $ or lb resealable spice bags for $ each. Note that oz lb Based on the storage complexities involved in keeping the spice rub fresh, the holding cost per ounce for one year has been determined to be of the cost price. The cost of ordering is quite low, at $ per order, and safety stock is equal to days of demand. Chuleta is open days a week throughout the year. Ignoring the cost of transportation from San Antonio, what is the total annual cost of Chuletas inventory policy?
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