Newstar Foods is a company manufacturing cereal. It has an annual demand for two flavors: Strawberry cereal and Blueberr

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Newstar Foods Is A Company Manufacturing Cereal It Has An Annual Demand For Two Flavors Strawberry Cereal And Blueberr 1 (610.17 KiB) Viewed 39 times

Newstar Foods is a company manufacturing cereal. It has an annual demand for two flavors: Strawberry cereal and Blueberry cereal of 592.600 and 608.030 boxes respectively. Each box contains 18 ounces of cereal and eactly half of the weight of the cereal comes from its fruit strawberry or blueberry and both fruits are imported from Japan Newstar Foods has computed its ordering cost as US$60 per order. They pay their bapanese supplier 12.5 US cents per pound there are 16 ounces in a pound of strawberry and 10 cents per pound of blueberry. The annual holding cost of either fruit is 20% of the value of the fruit. Answer the following questions based on the data above. Choose the closest number if needed. For the EOQ policy, the total annual stocking cost (the sum of the holding and ordering costs) for blueberry is SPOS $1005 $1150 $1210 $900