An online retailer estimates the annual demand for its headphones at 12,000 units.
The cost to place an order is $250, and the holding cost per unit per month is $1.5.
Which of the following represents the optimal order quantity for the headphones?
a. 1577
b. 1000 units
c. 733 units
d. 2000 units
e. 577 units
The cost to place an order is $250, and the holding cost per unit per month is $1.5.
Which of the following represents the optimal order quantity for the headphones?
a. 1577
b. 1000 units
c. 733 units
d. 2000 units
e. 577 units