The XYZ Company has an assembly plant in Chengdu and its parts plant in Chongqing. Parts...

 

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The XYZ Company has an assembly plant in Chengdu and its parts plant in Chongqing. Parts are transported from Chongqing to Chengdu using trucks. Each shipment costs $100. The Chengdu plant assembles and sells 300 finished products each day and operates 250 days a year. Part #456 costs $50 and XYZ Company incurs a holding cost of 20 percent per year. How many of part #456 should XYZ Company put in each shipment? The XYZ Company has an assembly plant in Chengdu and its parts plant in Chongqing. Parts are transported from Chongqing to Chengdu using trucks. Each shipment costs $100. The Chengdu plant assembles and sells 300 finished products each day and operates 250 days a year. Part #456 costs $50 and XYZ Company incurs a holding cost of 20 percent per year. How many of part #456 should XYZ Company put in each shipment?

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