Suppose that r amp b beverage company has a soft drink, Ask an Expert

Management Studies

Suppose that 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 are $20 per order and holding costs are 25% of the value of the inventory. R & B has 250 working days a year and the lead time is 5 days. Identift the following aspects of the inventory policy

A. Economic order quantity

B. Reorder point

C. Cycle time

D. Total annual cost

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M9347568

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