QUESTION 1

1. A billiard ball maker must place orders for resin, a raw material for billiard balls. It uses resin at a rate of 120 kilograms each day, and incurs a cost of $0.4 per kilogram per day to hold inventory. The ordering cost is $150 per order. Lead time for delivery is 4 days. Assume 365 day in a year. What is the optimal length of the order cycle associated with the minimum total cost of ordering and inventory holding? [Round your final number with two decimals]

   		0.13 days
   		1.10 days
   		2.50 days
   		47.76 days
   		None of the above