Question: Mr. White has estimated that the total additional variable costs on top of the material costs calculated above (ordering, storage, labour, overhead, etc...) is $125
Mr. White has estimated that the total additional variable costs on top of the material costs calculated above (ordering, storage, labour, overhead, etc...) is $125 per chair. Any chairs that are not sold by the end of summer are sold to a furniture liquidation company in Toronto, Ontario for $150. Data for the past 10 years of sales for the seasonal store in Bracebridge is provided in the table shown. Using your knowledge of single-period inventory models calculate the number of chairs that Mr. White should stock in the Bracebridge store for the summer of 2022 (use of Excel is recommended). Provide a summary of the calculations and an analysis of any qualitative factors that should also be considered in your report.
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