Answered: The inventory cost C of stocking a lot…

The inventory cost C of stocking a lot of size x is given by the function C(x)=8.1x+5,000x−1+675. What lot size would minimize costs? Round to the nearest whole number.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter7: Economies Of Scale And Scope

Section: Chapter Questions

Problem 7.3IP

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The inventory cost C of stocking a lot of size x is given by the function C(x)=8.1x+5,000x−1+675. What lot size would minimize costs? Round to the nearest whole number.

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