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Assessment..

Assignment..

Busine$-2208$

shahad alqahtani

nment # $3$

Question $2,$ Problem $6\mathrm{.}1\mathrm{.}2$

HW Score: $8\mathrm{.}33\%,0\mathrm{.}5$ of $6$ points

Part $1$ of $3$

Points: $0$ of $1$

A commercial fan manufacturer buys the blades of its products from an outside supplier. Annual demand for the fans is around $5,200$ units, with each blade costing $19\mathrm{.}68.$ Order costs are $85,$ and holding costs are currently $15\%$ of the purchase price of the blade.

$($a$)$ What is the current EOQ?

$($b$)$ How many orders per year are placed?

$($c$)$ The manufacturer is considering an alternative supplier whose order costs are $20\%$ less than the current supplier. How would a change in supplier alter the EOQ $?$

$($a$)$ The EOQ is: $($Round to the nearest whole number.$)$