Estimate annual inventory carrying cost

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Reference no: EM13103834

MacPack Products orders materials from its suppliers 26 times per year, at a re-ordering cost of $350 (per order). The company's average inventory is valued at $400,000. What is Macpack's annual inventory carrying cost, assuming an ICC rate of 25%?
A. $109,000
B. Cannot be determined
C. $9,100
D. $100,000

Reference no: EM13103834

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