? Du Homewu, k-Mark C·· Varmayah X , Unit 6; Learning Activitit × Solved: Babble

Question

? Du Homewu, k-Mark C·· Varmayah X , Unit 6; Learning Activitit × Solved: Babble, Inc., buy x co e secure! a https://wwww.mathxl.com/Student/PlayerHomework.aspx?homeworld-459272 161&question;!d=1&flushed-fal; -Google MapsYouTube Popular D done' Apps Bookmarks:. Man Uld Arsenal Liv AppleMYahoo! News Imported Fron, Safai Other bxookmarks Mark Carr | 12/5/17 12:21 AM Homework: Unit 6 AS: Homework 6 Score: 0 of 3 pts Problem 10 Save 6 of 8 (5 complete) HW Score: 50%, 10 of 20 pts Question Help * Habble, Inc, buys 40s blank cassete tapes per mnthoruse in producing toreign language co a. How many tapes should Bahbie order at a time? Habble should ardertapes at time er your response mindeoth nearest whole number) The arcering cnst s S10 25 Holding coet is $0 25 per cassette per year Enter your answer in the answer box and thn click Check Answer. Clear All Check Answer 12:21 AM Type here to search 12/5/2017

Explanation / Answer

Following are given:

Annual demand = D = 405/month x 12 months = 4860

Ordering cost = Co = $10.25 per order

Holding cost = Ch = $0.25 per cassette per year

The problem will be solved using Economic Order Quantity ( EOQ) model . Quantity to be ordered at a time will be equal to EOQ which will minimize total annual cost of ordering and inventory holding

Thus,

EOQ = Square root ( 2 x Co x D/Ch ) = Square root ( 2 x 10.25 x 4860/0.25) = 631.28 ( 631 rounded to nearest whole number )

HABBLE SHOULD ORDER 631 TAPES AT A TIME

HABBLE SHOULD ORDER 631 TAPES AT A TIME

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