Lemar Supermarket sells about 200 000 kilos of milk annually. The milk is purchased for 4 MU/kg. Holding costs are 1.40 MU/kg/yr. Each order costs 35 MU. If the shelf life of the milk is only 5 days, how many kilos should be ordered at a time.

Lemar Supermarket sells about 200 000 kilos of milk annually. The milk is purchased for 4 MU/kg. Holding costs are 1.40 MU/kg/yr. Each order costs 35 MU. If the shelf life of the milk is only 5 days, how many kilos should be ordered at a time.

Principles of Heat Transfer (Activate Learning with these NEW titles from Engineering!)

8th Edition

ISBN:9781305387102

Author:Kreith, Frank; Manglik, Raj M.

Publisher:Kreith, Frank; Manglik, Raj M.

Chapter5: Analysis Of Convection Heat Transfer

Section: Chapter Questions

Problem 5.18P: The drag on an airplane wing in flight is known to be a function of the density of air (), the...

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Question

Lemar Supermarket sells about 200 000 kilos of milk annually. The milk is
purchased for 4 MU/kg. Holding costs are 1.40 MU/kg/yr. Each order costs 35 MU. If the
shelf life of the milk is only 5 days, how many kilos should be ordered at a time.

Please mention formulas and do it in detail so I can understand.

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