# Demand for an item is 2,750 units per year. Each order placed costs \$10; the annual cost to carry items in inventory is \$5 each. In what quantities should the item be ordered? (Round your answer to the nearest whole number.)Optimal order quantity:   Units

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Demand for an item is 2,750 units per year. Each order placed costs \$10; the annual cost to carry items in inventory is \$5 each. In what quantities should the item be ordered? (Round your answer to the nearest whole number.)

Optimal order quantity:   Units

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Step 1

Given information:

Annual demand (D) = 2,750 units per year

Order cost (S) = \$10 per order

Carrying cost (H) = \$5 per unit per year

Step 2

Calculation of optimal order quantity...

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