Operations Management: Homework Assignment $4$

Due on $11$:$59$pm$,$ April ${29}^{th},2024$

Q$2.$ An allergy products superstore sells $500$ of their most popular model of air filters each

month. The cost of ordering and receiving shipments is $$20$ per order. Accounting estimates

that annual inventory holding cost is $$6.$ The store operates $240$ days per year $($operating days$).$

The supplier lead time is $2$ operating days. Each order is received from the supplier in a single

delivery. There are no quantity discounts.

a$.$ What quantity should the store order with each order? Please provide an integer number.

b$.$ How many times per year will the store order?

c$.$ How many operating days will elapse between two consecutive orders?