Business, 26.09.2019 08:30 andile64

Metropolitan bus company purchases diesel fuel from american petroleum supply. american petroleum supply charges $250.00 to cover delivery expenses. the lead time for a new shipment from american petroleum is 10 days and the cost of holding a gallon of fuel in storage is $0.04 per month or $0.48 per year and annual fuel usage is 150,000 gallons. mbc operates 300 days a year. what is the optimal order quantity for mbc? how frequently should mbc order to replenish the gasoline supply? the mbc storage tanks have a capacity of 150,00 gallons. should mbc consider expanding the capacity of its storage tanks? what is the reorder point?

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Metropolitan bus company purchases diesel fuel from american petroleum supply. american petroleum su...

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