Explain how much could the industry save annually

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Q. Illustrate what is a problem identification formulation style for the private security sector?

Q. A produce distributor uses 800 packing crates a month, which it purchases at a cost of $10 each. The manager has assigned an annual carrying cost of 35 percent of the purchase price per crate. Ordering costs are $28. Currently the manager orders once a month. Explain how much could the industry save annually in ordering also carrying costs by utilizing the EOQ?

Reference no: EM1377825

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