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How many units should it order each time

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An electronic retail chain wishes to minimize its ordering costs for a particularly popular model of laptop computer. This retail has a line credit to finance its inventory and the current holding rate is 5.5%. The chain estimates it can sell 670,000 units per year and it pay $375 dollars per unit. Its costs $320 dollars to place each order. How many units should it order each time?

Reference no: EM131316189

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