Question: PLEASE SHOW HOW THE ANSWER $3,872.97 WAS COMPUTED PLEASE!! LEE is attempting to perform an inventory analysis on one of the most popular products. The

PLEASE SHOW HOW THE ANSWER $3,872.97 WAS COMPUTED PLEASE!! PLEASE SHOW HOW THE ANSWER $3,872.97 WAS COMPUTED
PLEASE SHOW HOW THE ANSWER $3,872.97 WAS COMPUTED
LEE is attempting to perform an inventory analysis on one of the most popular products. The annual demand for this product is 5,000 units; the unit cost is $150; the carrying cost is considered to be approximately 20% of the unit price. Ordering costs for the company typically run nearly $50 per order and lead time averages 10 days. (Assume 250 working days during the year) Formula: Q=Squarerootof[(2DCo)/(CC)]TC=D/Q(Co)+1/2Q(Cc) What is the total inventory costs per year (i.e., total ordering costs + totai carrying costs)? Find the nearest value. Formula: Q=Squarerootof[(2DCo)/(Cc)]TC=D/Q(Co)+1/2Q(Cc) What is the total inventory costs per year (i.e., total ordering costs + total carrying costs)? Find the nearest value. $1,936.5 $2,598.15 $1,950 $3,872.97

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