Suppose that the R & B Beverage Company has a soft drink product that shows a constant annual demand rate of 3600 cases. A case of the soft drink costs R & B $3. Ordering costs $20 per order and holding costs are 25% of the value of the inventory. R & B has 250 working days per year, and the lead time is 5 days. Identify the following aspects of the inventory policy.

Question

Suppose that the R & B Beverage Company has a soft drink product that shows a constant annual demand rate of 3600 cases. A case of the soft drink costs R & B $3.  Ordering costs $20  per order and holding costs are 25% of the value of the inventory.  R & B has 250 working days per year, and the lead time is 5 days.  Identify the following aspects of the inventory policy.

bobpursley · Answer

Hmmmmm. Is something missing here?