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Answer the following question(s) using the information below:
Sandrington Ltd.operates a retail bicycle shop.Wheel covers are popular with customers.Sandrington purchases these covers for $48 per pair, and expects to sell 5,000 pairs per year.Ordering costs are estimated at $180 per order and relevant insurance handling etc.costs are estimated at $3.60 per month.The company has established a 14% annual return on investment.
-At the EOQ quantity, Sandrington's total annual relevant inventory costs would be:
Poisson Distribution
A statistical function representing the frequencies of an event happening within a set period of time or space.
Degrees Of Freedom
The count of separate values or measurements which may be applied to a statistical distribution.
Expected Number
A statistical estimate of the number of times an event is anticipated to occur within a specified period or under certain conditions.
Null Hypothesis
A hypothesis that states there is no statistical significance between the specified sets of observations, serving as a default position that there is no association.
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