Question: Complete Computer ( CC ) is a retailer of computer equipment in Minneapolis with four retail outlets. Currently each outlet manages its ordering independently. Demand

Complete Computer (CC) is a retailer of computer equipment in Minneapolis with four retail outlets. Currently each outlet manages its ordering independently. Demand at each retail outlet averages 4,000 units per week. Each unit costs $200, and CC has a holding cost of 20% per annum. The fixed cost of each order (administrative plus transportation) is $900. Assume 50 weeks in a year.
Given that each outlet orders independently and gets its own delivery, what is the optimal order size at each outlet?
Complete Computer (CC) is a retailer of computer equipment in Minneapolis with four retail outlets. Currently each outlet manages its ordering independently. Demand at each retail outlet averages 4,000 units per week. Each unit costs $200, and CC has a holding cost of 20% per annum. The fixed cost of each order (administrative plus transportation) is $900. Assume 50 weeks in a year.
Given that each outlet orders independently and gets its own delivery, what is the optimal order size at each outlet?
2,200
3,300
3,000
3,750

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