Question: The Talbot Company uses electrical assemblies to produce an array of small appliances. One of the assemblies, the XO01, has an estimated annual demand of

The Talbot Company uses electrical assemblies to produce an array of small appliances. One of the assemblies, the XO01, has an estimated annual demand of 7,000 units. The cost to place an order for these assemblies is $450, and the holding cost for each assembly unit is approximately $35 per year. The company has 260 workdays per year.

What is the economic order quantity (EOQ) for the XO01? (Round your answer to the nearest whole unit.)

The EOQ is _________ units.

What is the annual inventory holding cost of the XO01 if Talbot Co. uses the EOQ for orders? (Round your answer to the nearest cent, i.e., two decimal places.)

The annual inventory holding cost is $_________ per year.

If they use the EOQ for orders, what is the cycle length (time between orders) for the XO01?(Round your answer to the nearest whole number of workdays.)

The cycle length is __________workdays.

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