a. how much gasoline does the gas station sell annually?
b. Calculate the EOQ _____ and number of annual deliveries_____
c. determine the TC, the total cost per year____
2) Demand for gasoline at a local gas station is constant at about 1000 gallons per day. The gas station is open every day of the year. Assume that the purchase price per gallon is $2.50 and that the annual holding cost of a gallon of gas is about $1.25. Every time a tanker makes a delivery, there is a $200 delivery charge charged to the station.
a. how much gasoline does the gas station sell annually? b. Calculate the EOQ _____ and number of annual deliveries_____
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a. how much gasoline does the gas station sell annually? b. Calculate the EOQ _____ and number of annual deliveries_____
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