Given the following information for a purchased component, what is the total annual cost for the item? • Annual demand= 500,000 • Purchase price = $10 per unit • Order quantity = 100,000 • Order cost = $5 per order • Annual holding cost per unit = $2 O $2.510,100 $510,025 O $510,250 $5,100,250 O $5,100,025

Given the following information for a purchased component, what is the total annual cost for the item? • Annual demand= 500,000 • Purchase price = $10 per unit • Order quantity = 100,000 • Order cost = $5 per order • Annual holding cost per unit = $2 O $2.510,100 $510,025 O $510,250 $5,100,250 O $5,100,025

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Chapter16: Lean Supply Chain Management

Section: Chapter Questions

Problem 10DQ: The chapter presented various approaches for the control of inventory investment. Discuss three...

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The chapter presented various approaches for the control of inventory investment. Discuss three additional approaches not included that might involve supply chain managers.
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