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A local distributor for a tire company expects to sell approximately 7,500 new radial tires of certain size next year. Annual carrying cost is $ 15 per tire, and ordering cost is $ 60. The distributor operates 300 days a year. a. What is the EOQ? b. How many times per year does the store reorder? c. What is the length of an order cycle? d. What is the total annual cost if the EOQ quantity is ordered?
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A local distributor for a tire company expects to sell approximately 7,500 new radial tires of certa...
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