Approximately how often should Jed's Supermarket order 20 oz.cans of Splat Spiced Possum if it expects to sell 5,000 cases per year,the ordering cost is $0.50 per order,and the carrying cost is $0.75/case?
A) 45.29 times per year
B) 61.24 times per year
C) 63.67 times per year
D) 24.56 times per year
E) 55.36 times per year

Question

Quizplus · Accepted Answer

Step 1 - Compute the optimal number of units per order.
Q* = 11ea7fdb_fc3f_17a1_a768_258898af34e2_TB2902_11 Q* = 11ea7fdb_fc3f_17a2_a768_37db5c6491ab_TB2902_11 Q* = 81.65
Step 2 - Use the optimal number of units per order to compute how often they should order. 11ea7fdb_fc3f_17a3_a768_3becc7d4e67f_TB2902_11 = 11ea7fdb_fc3f_17a4_a768_4138f690092f_TB2902_11 = 61.24

Approximately How Often Should Jed's Supermarket Order 20 Oz