Question: Costco sells large screen TVs. The average cost is about $1800per TV. The two components of their inventory holding cost areobsolescence AND lost return on

Costco sells large screen TVs. The average cost is about $1800per TV. The two components of their inventory holding cost areobsolescence AND lost return on investment. Every year, due toobsolescence, they discard about 29% of their inventory. (Mostbuyers do not want last year's model.) Costco currently gets abouta 9% annual return on their investment. What is Costco's cost tohold a TV in inventory for one year? Do not include a dollar sign $with your answer.

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