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Steve's Shop Sells Seashells by the Seashore

question 18

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Steve's shop sells seashells by the seashore.Steve buys shells from local collectors for an average price of $0.50 per shell.Steve sells on average 1,000 shells each month.Each time he orders shells from collectors,there is a $20 shipping and handling fee.Steve estimates a unit holding cost of $0.50 per shell per year (many of them get broken if held in inventory too long) .How often should Steve order seashells?


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