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CaptainTrout CaptainTrout
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4 years ago
A product has an annual demand of 3600 units. Unit cost for this product is $3. Set up cost is $20 and the inventory carrying rate as a percent of the unit cost is 25%. The product is produced in-house where the daily production rate is 50 units. Assume 360 working days per year. Determine the annual ordering cost and carrying cost if the optimal production quantity is made each time.
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Introduction to Management Science

Introduction to Management Science


Edition: 13th
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julieglossbrennjulieglossbrenn
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$147 and $147 for a total of $294.
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