Question: Name: # 1 . Annual demand is 7 4 0 0 0 per year. Holding cost, h , is $ 1 , 8 9 per

Name:
#1. Annual demand is 74000 per year. Holding cost, h, is $1,89 per unit per year, and ordering cost, S, is $175 per order. Manager, using continuous review inventory model, currently orders 5000 units every time she/he places an order.
(a) How many times she/he places orders annually? What is the annual holding cost HC, the annual ordering cost SC and the total cost TC?
(b) What is the optimal order quantity to minimize TC? What is TC?
 Name: #1. Annual demand is 74000 per year. Holding cost, h,

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