Compute annual order cost and annual total inventory cost

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The monthly demand for a part is 1500 units. The order cost is $285 per order, The holding cost is $56 per unit per year, and the part cost is $850 per unit. The firm operates 12 months per year. Compute the (a) EOQ (b)annual holding cost, (c) annual order cost, and(d) annual total inventory cost.

Reference no: EM13843077

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