Question: PA 1 2 - 5 ( Static ) BZoom sells toy bricks that can used to construct... BZoom sells toy bricks that can be used
PA Static BZoom sells toy bricks that can used to construct...
BZoom sells toy bricks that can be used to construct a wide range of machines, animals, buildings, and so on It purchases a red dye
powder to include in the resin it uses to make the bricks. The powder is purchased from a supplier for $ per kilogram. At one
Costs
production facility, BZoom requires kilograms of this red dye po
and the fixed cost associated with each order to the supplier is $
a How many kilograms should BZoom order from its supplier with each order to minimize the sum of the ordering and holding costs?
b If BZoom orders kilograms at a time, what would be the sum of the annual ordering and holding costs?
Costs
c If BZoom orders kilograms at a time, what would be the sum of the ordering and holding costs per kilogram of dye?
Note: Round your answer to decimal places.
Costs
per kilogram
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