Question: PROTECTED VIEW Be careful files from the Internet can contan vull you 118 H M N B O A pharmacy orders many medications. Data for

PROTECTED VIEW Be careful files from the Internet
PROTECTED VIEW Be careful files from the Internet can contan vull you 118 H M N B O A pharmacy orders many medications. Data for three of them are shown in the following table. 2. The pharmacy wants to try to reduce total holding and order processing costs by decreasing the processing cost per order > If they could focus on cutting the processing cost per order in half for any one of the three medications in the table, 4 which one would save the most money and what would the annual dollar savings be? 3 The annual carrying rate is shown as a percentage of the purchase price. 6 Assume the pharmacy uses the economic order quantity in all cases. 7 8 09 10 11 12 13 14 Medication Fluocinonide OS Lanoxin .25mg 2ml Theophylline Annual Processing Monthly Purchase Carrying Cost per Demand Price Rate Order 140 59.85 12% $25 9 $36.00 16% $40 350 $7.80 18% $20

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