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ABC Company has a demand for 2000 units per year. The cost of each unit is $100. It costs ABC $200 to place an order and $4 to carry a unit in stock per year. Further, the supplier needs week and a half to deliver their order. Assume 50 weeks to a year. Calculate the Total Annual Cost of the System. a. $186,788.86 b. $205, 800.00 c. $201,788. 86 d. $88,889.88.

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Operation Management, Management Studies

Category:- Operation Management
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