ABC Co. purchases an item. The annual demand for this is 75000 unites. The ordering cost is $60 per order. The holding cost is $4 per unit per year. The lead time for this item is 3 days. Assume 250 working days per year.
A) Economic production quantity, EOQ
B) What is optimal number of orders per year
C) What is the annual cost of ordering and holding inventory
D) What is the re-order point