Problem $14-1($Algorithmic$)$

Suppose that the R&B Beverage Company has a soft drink product that shows a constant annual demand rate of $3300$ cases. A case of the soft drink costs R&B $$4.$ Ordering costs are $$22$ per order and holding costs are $20\%$ of the value of the inventory. R&B has $250$ working days per year, and the lead time is $5$ days. Identify the following aspects of the inventory policy:

a$.$ Economic order quantity. If required, round your answer to two decimal places.

$Q^{**}=$

$$

b$.$ Reorder point.

$r=$

$$

c$.$ Cycle time. If required, round your answer to two decimal places.

$T=$

$$ days

d$.$ Total annual cost. If required, round your answer to two decimal places.

$TC=$$

$$

Feedback

$$ Check My Work

Incorrect