Question: Custom Computers, Inc. assembles custom home computer systems. The heat sinks needed are bought for $12 each and are ordered in quantities of 1,170 units.

Custom Computers, Inc. assembles custom home computer systems. The heat sinks needed are bought for $12 each and are ordered in quantities of 1,170 units. Annual demand is 4,680 heat sinks, the annual inventory holding cost rate is $3 per unit, and the cost to place an order is estimated to be $41. (a) Your answer is incorrect. Calculate average inventory level. units

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