Consider the following requirements for an office chair product. Week 2 3 Gross requirements 90 300 A. $9,100 B. $4,100 OC. $4,250 D. $4,350 1 150 The company has a setup cost of $50, a holding cost per week of $10, beginning inventory of 400, and lead time of 2 weeks. What is the total inventory holding cost of using a lot-for-lot policy for this six-week inventory period? $0.06O 4 5 6 0 350 200

Practical Management Science
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Consider the following requirements for an office chair product.
Week
1
2
3
Gross requirements
150
90 300
4 5 6
0 350 200
The company has a setup cost of $50, a holding cost per week of $10, beginning inventory of 400, and lead time of
2 weeks. What is the total inventory holding cost of using a lot-for-lot policy for this six-week inventory period?
A. $9,100
B. $4,100
C. $4,250
D. $4,350
E. $3,060
Transcribed Image Text:Consider the following requirements for an office chair product. Week 1 2 3 Gross requirements 150 90 300 4 5 6 0 350 200 The company has a setup cost of $50, a holding cost per week of $10, beginning inventory of 400, and lead time of 2 weeks. What is the total inventory holding cost of using a lot-for-lot policy for this six-week inventory period? A. $9,100 B. $4,100 C. $4,250 D. $4,350 E. $3,060
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