Question: The answer is not 3 or 11 Economic Ordering Quantity The Gentry Garden Center sells 121,000 bags of lawn fertilizer annually. The optimal safety stock

The answer is not 3 or 11 The answer is not 3 or 11 Economic Ordering Quantity The Gentry

Economic Ordering Quantity The Gentry Garden Center sells 121,000 bags of lawn fertilizer annually. The optimal safety stock (which is on hand initially) is 1,200 bags. Each bag costs the firm $0.13, inventory carrying cost is 20%, and the cost of placing an order with its supplier is $13. Assume a 365-day year. Do not round intermediate calculations. Round your answers to the nearest whole number a. What is the Economic Ordering Quantity? 1100 bags per order b. What is the maximum inventory of fertilizer? 1220 bags c. What will be the firm's average inventory? 6700 bags d. How often must the company order? The company must place an order every 11 % days

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