Question: Question 2 . Thomas Kratzer is the purchasing manager for the headguarters of alarge insurance company chain with a central inventory operation. Thomas's fastest -

Question 2. Thomas Kratzer is the purchasing manager for the headguarters of alarge insurance company chain with a central inventory operation. Thomas's fastest-movina inventory item has a demand of 6.000 units per vear. The cost of each unit is $100, and the inventory carrying cost is $10 per unit per vear The averacge ordering cost is $30 per order It takes about 5 days for an orde to arrive, and the deand for 1 week is 120 units. (This is a corporate operation, and there are 250 working days per year)
al What is the EOQ?
b) What is the optimal number of orders per year?
d What is the optimal number of days in between any two orders?
d) What is the total annual inventory aost, induding the cost of the 6.000 units?

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