Mathematics, 14.07.2020 01:01 RoyALP
An auto parts shop carries an oil filter for trucks. The annual demand for the oil filter is roughly 1200 units. The ordering cost per order for the auto parts shop is $80; the holding cost of carrying 1 unit is $1.2 per year. The shop has 360 working days per year. The lead time is usually 12 working days. Determine the annual total relevant, including ordering and carrying, cost.
a) 240
b) 80
c) 480
d) 300
e) None of the above.
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