Describe the optimal inventory policy for the company

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Reference no: EM13276361

The Trektronics store begins each month month with 950 phasers in stock. This stock is depleted each month and recorded. If the carrying cost per phaser is $32 per year and the fixed order cost is $540: a. what is the total carrying cost? b. what is the restocking cost? c. should the company increase or decrease its order size? d. describe the optimal inventory policy for the company in terms of orders size and order frequency.

Reference no: EM13276361

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