Answer Happy

The consumption of a product is 230 units per year, with a stable demand and a constant supply lead time. The purchasing department has negotiated acquisitions with a particular supplier, who commits to deliver the product keeping the unit price at $19 throughout the year. It is estimated that the sum of capital and storage fees is 20% per year, and that the cost of placing the order (including shipping and insurance charges) is $122.79 per order. Considering the economic lot purchase system, the question is: What will be the annual total cost of ownership following this control system? 4 621.48 4814.02 5294.07 4943.04 4995.30