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Calculate and fill up the table

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Reference no: EM132859599

Using data from the appendix pic to calculate and fill up the following table:

Extra calculate format:

Annual holding cost = (Average cycle inventory) × (Unit holding cost)

Annual ordering cost = (Number of orders/Year) ×(Ordering or setup costs)

Total costs = Annual holding cost + Annual ordering or setup cost

Safety stock = z σd L T

Reorder point = Average demand during lead time + Safety stock = d ¯L + safety stock

Reference no: EM132859599

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