Question: N7 ABC Inc. orders components for distribution at a monthly demand of 900 units. Holding costs are 15% of the unit cost of $23.75. The
N7

ABC Inc. orders components for distribution at a monthly demand of 900 units. Holding costs are 15% of the unit cost of $23.75. The ordering cost is $47.35. The company operates 240 days per year a. If the company wishes to effectively procure these components, what would be the optional amount to order? [ Select ] b.. What is the average inventory? [ Select ] c. How many order cycles are there per year? [ Select ] d. What are the total cost of managing the inventory? $ re [ Select ] e. What is the total cost, including the cost of the inventory? [ Select ] f. What is ABC Inc. decided to order 600 components, what impact would it have on holding costs? [ Select ]
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