Determine the inventory cost

Reference no: EM13203478

A widget distributer expects to sell 9000 lots of widgets during the coming year at a steady rate. Yearly carying costs (to be computed on the average number of lots in stock during the year) are $35 per lot, and the cost of placing an order with the widget manufacturer is $50.

a) Find the inventory cost incurred if the distributor orders 600 lots at a time during the year.

Reference no: EM13203478

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