(Answered) Suzys candy distributors has an annual demand for its boxes

Management Studies

Suzy's Candy Distributors has an annual demand for its boxes of "Chocolate Heaven Candies" of 250,000 units, an ordering cost of $85 per order, and an annual holding cost percentage of 16%. The current purchase price for each box is $28, but the supplier has notified Suzy that starting next week, the purchase price will rise to $40. Suzy's inventory of boxes is about to be depleted. How many boxes should Suzy purchase?

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Operation Management, Management Studies

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