R&B Beverage Co. has a soft drink product that shows a constant annual demand rate of 5,700 cases. A case of the soft dr
Posted: Fri Jul 01, 2022 9:05 am
R&B Beverage Co. has a soft drink product that shows aconstant annual demand rate of 5,700 cases. A case of the softdrink costs R&B $6.90. Ordering costs are $22 per order andholding costs are 11% of the value of the inventory. R&B has280 working days per year, and the lead time is 3 days. Identifythe following aspects of the inventory policy:
Economic order quantity
Reorder point
Cycle time
Total annual cost
Economic order quantity
Reorder point
Cycle time
Total annual cost