Lulu hypermarket estimates daily demand of 18 kgs for a product. It costs RO 100 to make and receive an order, and it takes 16 workdays to receive it. The annual holding cost is 25 % of purchase price. The price RO 2 per kg. The company is operating 5 days per week, anda total of 210 workdays in one year. What is the minimum annual total holding and ordering cost in RO? Round-up to the nearest integer O a. 152 O b. None is correct Oc. 725 O d. 625 O e. 615

Lulu hypermarket estimates daily demand of 18 kgs for a product. It costs RO 100 to make and receive an order, and it takes 16 workdays to receive it. The annual holding cost is 25 % of purchase price. The price RO 2 per kg. The company is operating 5 days per week, anda total of 210 workdays in one year. What is the minimum annual total holding and ordering cost in RO? Round-up to the nearest integer O a. 152 O b. None is correct Oc. 725 O d. 625 O e. 615

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter1: Introduction And Goals Of The Firm

Section: Chapter Questions

Problem 2.2CE

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