A Store Has an Ordering Cost of $250,a Carrying Cost

question 15

Multiple Choice

A store has an ordering cost of $250,a carrying cost of $4 per unit,annual product demand of 6,000 units,and it purchases product from a supplier for $500 per unit,however,the supplier has offered the store a discount price of $400 if it will purchase 1,200 units;the store's minimum total inventory cost is

• A)$2,407,300
• B)$3,607,200
• C)$3,464,000
• D)$2,987,400

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Definitions:

Cognitive Control

The ability of individuals to regulate and manipulate their thoughts, emotions, and actions in pursuit of long-term goals.

Crowded

A situation or environment characterized by high density of people or objects within a given space, often causing discomfort or inconvenience.

Nonrenewable Resources

Natural resources such as coal, oil, and natural gas, that cannot be replenished in a short period of time and will eventually deplete.

Sustainable Resources

Natural resources that are used in a manner that satisfies current needs without compromising the ability of future generations to meet their needs.