Question: Mike s Pharmacy has an expected annual demand for a leading pain reliever X . The pharmacy keeps several brand, however, its biggest seller is
Mikes Pharmacy has an expected annual demand for a leading pain reliever X The pharmacy keeps several brand, however, its biggest seller is pain reliever X which costs $ per box. The pharmacy wants to determine the optimal order size and total inventory cost for this pain reliever X given an estimated demand of boxes per month, an annual carrying cost of percent, and an ordering cost of $ The store would also like to know the number of orders that will be made annually and the time between orders ie the order cycle time given that the pain reliever is open days per year.
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