Holding costs associated with this ordering policy

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Reference no: EM132239025

1. Write a summary of customer buying behavior. length should be no more than 1 page plus list the resource.

2. If annual demand is 44,315 units, orders are placed in quantities of 3,009 units at a time, and the cost to place an order is $55, what is the annual ordering cost? (Calculate your answer to one decimal place.)

3. B&B Beverage Company sells a soft-drink that has a constant annual demand rate of 16,427. It costs B&B $2 to hold a case in its warehouse for a year and $37 to process a replenishment order of the soft-drink. Suppose B&B Beverage Company reorders 364 cases each time it replenishes its inventory. What are the annual total inventory holding costs associated with this ordering policy? (Calculate your answer to one decimal place.)

Reference no: EM132239025

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