What is the total annual cost of this plan

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Custom Computers, Inc. assembles custom home computers. Annual demand for heat sinks is 5,200 units, the annual inventory cost rate is $3 per unit, and the cost to place an order is estimated to be $50.   Lead time is 2 weeks.

A) What is the economic order quantity for the heat sinks?

B) What is the total annual cost (ordering + holding) of this plan?  

C) What is the reorder point for this plan?

Reference no: EM13954762

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What is the total annual cost of this plan : Custom Computers, Inc. assembles custom home computers. Annual demand for heat sinks is 5,200 units, the annual inventory cost rate is $3 per unit, and the cost to place an order is estimated to be $50.   Lead time is 2 weeks. What is the economic or..
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