Question: PLEASE complete a-d. I cannot figure this out at all EOO Model (1 Point) Cat Lovers Inc. (CLI) is the distributor of a very popular

PLEASE complete a-d. I cannot figure this out at all
EOO Model (1 Point) Cat Lovers Inc. (CLI) is the distributor of a very popular blend of cat food. CLI experiences demand of 500 cans per week on average. They order the cans of cat food from the Nutritious & Delicious Co. (N&D). N&D sells cans to CLI at $0.50 per can and charges a flat fee of $7 per order for shipping and handling. CLI uses the EOQ as their fixed order size. Assume that the annual inventory holding cost is 15 percent of the wholesale price, per can per year. And assume there are 50 weeks in a year. a. How many cans of cat food should CLI order at a time? Text b. If the lead time is 2 weeks, what is the reorder point? c. Provided with the order quantity you obtain in (a) and zero lead time, what is CLI's fixed cost (i.e., order cost of shipping and handling) per year? d. Provided with the order quantity you obtain in (a) and zero lead time, what is CLI's holding cost per yearStep by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
