Annual Demand for a Product Is 40,000 Units

question 89

Multiple Choice

Annual demand for a product is 40,000 units.The product is used at a constant rate over the 365 days the company is open every year.The annual holding cost for the product is estimated to be $2.50 per unit,and the cost of placing each order is $125.00.If the company orders according to the economic order quantity (EOQ) formula,then the time between orders (order cycle time) is

• A)18.25 days.
• B)24.33 days.
• C)36.5 days.
• D)73 days.

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Definitions:

Native Americans

The indigenous peoples of the United States, including both American Indian and Alaska Native groups.

U.S. Citizens

Individuals who are legally recognized as members of the United States, either by birth or naturalization, and are entitled to rights and privileges under the U.S. Constitution.

Nineteenth Century

The period of time from 1801 to 1900, noted for rapid technological, scientific, and cultural developments as well as significant social and political changes.

Wounded Knee

The site of an 1890 massacre where the U.S. Cavalry killed over 150 Lakota Sioux, many of whom were women and children, marking a tragic end to the American Indian Wars.