Question: Raw Materials Inventory Management: After the facility is selected and manufacturing is underway, ABC will require raw materials to construct the desks. The new contracts

Raw Materials Inventory Management:
After the facility is selected and manufacturing is underway, ABC will require raw materials to construct the desks. The new contracts secured for sourcing lumber stipulate the purchase from Pacific Lumber, to be delivered in two-by-six timbers. Each desk unit requires three timbers on average, and the cost per timer is $45. Each order placed with Pacific Lumber has a charge of $3,000 associated with transportation and logistics, regardless of order size. Based on these inputs, your task is to devise a raw materials inventory strategy to enable the production plan formulated in Problem 3.

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