Petromax Enterprises uses a continuous review inventory control system for one of its SKUs. The following information is available on the item. The firm operates 52 weeks in a year. Refer to the standard normal table for z-values. > Demand = 83,200 units/year > Ordering cost = $32.50/order > Holding cost = $3.50/unit/year > Average lead time = 1 week > Standard deviation of weekly demand = 200 units a. The economic order quantity for this item is to the nearest whole number.) units. (Enter your response rounded
Petromax Enterprises uses a continuous review inventory control system for one of its SKUs. The following information is available on the item. The firm operates 52 weeks in a year. Refer to the standard normal table for z-values. > Demand = 83,200 units/year > Ordering cost = $32.50/order > Holding cost = $3.50/unit/year > Average lead time = 1 week > Standard deviation of weekly demand = 200 units a. The economic order quantity for this item is to the nearest whole number.) units. (Enter your response rounded
Chapter18: The Management Of Accounts Receivable And Inventories
Section: Chapter Questions
Problem 20P
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