Suppose that the R&B Beverage Company has a soft drink product that shows a constant annual demand rate of 3,650 cases. A case of the soft drink costs R&B $3. Ordering costs are $25 per order and holding costs are 21% of the value of the inventory. R&B has 250 working days per year, and the lead time is 5 days. Identify the following aspects of the inventory policy Round to 2 decimal points

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Suppose that the R&B Beverage Company has a
soft drink product that shows a constant annual
demand rate of 3,650 cases. A case of the soft
drink costs R&B $3. Ordering costs are $25 per
order and holding costs are 21% of the value of the
inventory. R&B has 250 working days per year, and
the lead time is 5 days. Identify the following
aspects of the inventory policy
Round to 2 decimal points
look at number closely
Transcribed Image Text:Suppose that the R&B Beverage Company has a soft drink product that shows a constant annual demand rate of 3,650 cases. A case of the soft drink costs R&B $3. Ordering costs are $25 per order and holding costs are 21% of the value of the inventory. R&B has 250 working days per year, and the lead time is 5 days. Identify the following aspects of the inventory policy Round to 2 decimal points look at number closely
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