Question $2(5$ points$)$

Barksdale Biscuits is a small manufacturer of gourmet dog biscuits and uses an

average of $6,000$ pounds of flour per week and works $50$ weeks per year. Barksdale

buys flour at $$\frac{0\mathrm{.}20}{l}b$ delivered. It costs them $$80$ to process an order. They use

$12\%$ of the purchase price for flour to calculate the annual holding cost.

Calculate the economic order quantity for flour for Barksdale Biscuits.

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