The supplier lead time is 9 days calculate the economic


The annual demand of a manufacturing component used in company JB Carry & Co Inc. is 21,000 units. The cost of the component is $82, and holding costs (which includes storage, insurance, and cost of capital) are 38% of the unit cost. Each time an order is placed, the company expects to incur costs, such as administrative and receiving, of $190. The supplier lead time is 9 days. Calculate the economic order quantity.

Request for Solution File

Ask an Expert for Answer!!
Operation Management: The supplier lead time is 9 days calculate the economic
Reference No:- TGS02932187

Expected delivery within 24 Hours