Question: Piddling Manufacturing assembles security systems. It purchases 3,600 high-definition security cameras a year at $180 each. Ordering costs are $50, and annual carrying costs are

Piddling Manufacturing assembles security systems. It purchases 3,600 high-definition security cameras a year at $180 each. Ordering costs are $50, and annual carrying costs are 20 percent of the purchase price. The manufacturer operates for 250 days.

Compute:

The optimal quantity (Q)?

The number of orders per year?

The total annual cost of ordering and carrying the inventory.

Length of order cycle?

The reorder point (ROP) if the daily sales are 5 cameras and the lead time is 10 days

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