1. The Go - Pro Extreme is a retail outlet that deals exclusively with Go-Pro cameras. The manager is trying to decide on an inventory and reorder policy for the economic travel use of a Go -Pro camera. Each economic model Go-Pro camera costs $220 and demand is about 990 per year distributed evenly throughout the year. Reordering costs are $98 per order and holding costs are figured at 25% of the cost of the item. The shop is open 300 days a year (6 days a week and closed two weeks in January for New Years Holiday). Lead time is 50 working days. What is the optimal order quantity? *Enter the number only** *Do not use any words or symbols** *Round your answer to two decimal places only**
1. The Go - Pro Extreme is a retail outlet that deals exclusively with Go-Pro cameras. The manager is trying to decide on an inventory and reorder policy for the economic travel use of a Go -Pro camera. Each economic model Go-Pro camera costs $220 and demand is about 990 per year distributed evenly throughout the year. Reordering costs are $98 per order and holding costs are figured at 25% of the cost of the item. The shop is open 300 days a year (6 days a week and closed two weeks in January for New Years Holiday). Lead time is 50 working days. What is the optimal order quantity? *Enter the number only** *Do not use any words or symbols** *Round your answer to two decimal places only**
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:1. The Go - Pro Extreme is a retail outlet that deals exclusively with Go-Pro cameras. The
manager is trying to decide on an inventory and reorder policy for the economic travel use of a Go
- Pro camera. Each economic model Go-Pro camera costs $220 and demand is about 990 per
year distributed evenly throughout the year. Reordering costs are $98 per order and holding costs
are figured at 25% of the cost of the item. The shop is open 300 days a year (6 days a week and
closed two weeks in January for New Years Holiday). Lead time is 50 working days. What is the
optimal order quantity? *Enter the number only** *Do not use any words or symbols** *Round
your answer to two decimal places only**
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