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1. A jewelry firm buys semiprecious stones to make bracelets and rings. The supplier charges $20 per stone, annual carrying costs are 50%, and the cost of processing orders is $40. The jewelry firm operates 200 days per year and their usage rate is 36 stones per day. a. Determine the economic order quantity. b. Compute the total cost of ordering and carrying semiprecious stones.
An insulated shipping container supplier is considering expanding its product line. Three materials with different insulation properties are under consideration. The following info
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