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Mathematics, 27.11.2019 21:31 knowingwhat

"powered by koffee (pbk) is a new campus coffee store. pbk uses 50 bags of whole bean coffee every month, and you may assume that demand is perfectly steady throughout the year. pbk has signed a year-long contract to purchase its coffee from a local supplier, phish roasters, for a price of $25 per bag and an $85 fixed cost for every delivery independent of the order size. the holding cost is 4% of the price per bag per month. what is the optimal order size, in bags? "

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