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Appliance for Less is a local appliance store. It costs this store $16.81 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 547 units. Each order costs $86. The company is using Economic Order Quantity model in placing the orders. What is the average inventory held during the year including safety stock if the store insists on a 1 days safety stock (assume 365 days a year)?

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Financial Management, Finance

Category:- Financial Management
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