The Operations Manager for Shadyside Savings & Loan Orders Cash

question 63

Multiple Choice

The Operations Manager for Shadyside Savings & Loan orders cash from her home office for her very popular "BIG BUCKS" automated teller machine, which only dispenses $100 bills. She estimates that this machine dispenses an average of 12,500 bills per month, and that carrying a bill in inventory costs 10 percent of its value annually. She knows that each order for these bills costs $300 for clerical and armored car delivery costs, and that order lead time is six days. What is the economic order quantity?

• A) 600 bills
• B) 3,000 bills
• C) 949 bills
• D) 6,215 bills
• E) 12,500 bills

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Definitions:

Profound Changes

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Civilizational Argument

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Mulatto

A term historically used to describe a person of mixed white and black ancestry, particularly in contexts where racial classification was important to social and legal status.