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Question: SPC buys polystyrene resin from a supplier in 1000-pound units, and each unit cost $20.00, and th...

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SPC buys polystyrene resin from a supplier in 1000-pound units, and each unit cost $20.00, and the percent holding cost is 15%. The fixed shipping cost per order is $300.If we assume that 1000 pounds of resin yields 1000 pounds of clear plastic, what are the following values for clear plastic?

Find:

A. Cycle Inventory

B. Holding Cost

C. Flow Time

Data:

- 1000-pound units

- $20.00 Cost per Unit

- 15%: Holding cost per year

- $300 Shipping cost

- Annual Demand:

- Black Plastic: 23,967

- Clear Plastic: 29,760