Question: u A work center is concerned with the storage space occupied by one item that has the following characteristics: Unit cost $100, Annual Demand =
u A work center is concerned with the storage space occupied by one item that has the following characteristics: Unit cost $100, Annual Demand = 500 units, space per unit = 1 m3. The reorder cost for the item is constant at $1000, and holding cost is 20 percent of item unit cost a year. If the company wants to allocate an average space of 100 cubic meters for the item with an associated cost of $10 per unit. What would be the best ordering policy? An Ma F Oa. 182 units. Ob. 91 units. c. 100 units. d. 224 units. Clear my choice
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