Question: Problem 6 Problem 4 3 , p . 4 5 8 The South Texas Center for Pediatric Care in San Antonio wants to reduce its

Problem 6Problem 43, p.458The South Texas Center for Pediatric Care in San Antonio wants to reduce its inventoryreplenishment costs. The Center carries vaccines (e.g., for whooping cough), non-injectable medicalsupplies (such as examining-table paper, alcohol swabs, tongue depressors), and office supplies(stationery, paper, and forms). Out of the 113 inventory items, seven vaccines account forapproximately 70 percent of annual dollar value of $225,000. Approximately 210 whooping coughvaccines are needed per month. An office manager spends a total of approximately one half-hourfinding out how much inventory of whooping cough vaccine is on hand and placing an order. She ispaid approximately $17 an hour. The cost of capital for the centre is 8 percent per year, and thestorage cost (including freezers for some items) are estimated to also be approximately 8 percent ofitem cost per year. A box of 10 whooping cough vaccines costs an average of $160.a.Calculate the EOQ for whooping cough vaccines (in boxes)

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