Question: Question 4 (problem 2). David Fisher trades transistors as components for microcomputers. The top-selling transistor is MOSFET with weekly sales of 18 units at a

Question 4 (problem 2). David Fisher trades
Question 4 (problem 2). David Fisher trades transistors as components for microcomputers. The top-selling transistor is MOSFET with weekly sales of 18 units at a price of 60 per transistor. The cost of carrying one transistor in inventory for a year is 25% of the transistor's value. Ordering cost is 45 per order. Assume that Fisher operates 52 weeks per year. Fisher choses a lot size of 390 transistors in order to reduce the frequency of placing orders. a. Calculate the total annual cost of the present policy of 390-transistor lot size b. Is it better to use a lot size of 468 transistors? c. Calculate the frequency of placing orders (in weeks), assuming that Fisher uses the EOQ. d. Judging from the number of orders is it better to use the EOQ or the 390-transistor lot size policy? c. Judging from the total annual inventory cost is it better to use the EOQ or the 390-transistor lot size policy

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