Costs are equal to five percent of the cost of the drink

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Reference no: EM13968146

The manager of the Quick Stop Corner Convenience Store (which never closes)sells four cases of Dr. Pepper each day. Order costs are $8.00 per order, and Dr. Pepper costs $.80 per six-pack (each case contains four six-packs). Orders arrive three days from the time they are placed. Daily holding costs are equal to five percent of the cost of the drink. At what point should he reorder?

Reference no: EM13968146

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