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A grocery store needs to sell 3,000 cartons of 2L 2% milk per month. The sales is relativiely constant throughout the month. The owner of this grocery store purchases milk from a supplier 50 miles away for $2 per carton. It takes a day to restocl. The holding cost per carton per month is $1.5, and the ordering cost per order is $18.5 including labor, gas and depreciation. Consider a month of 30 days.
The optimal order quantity is about____ cartons of milk, and the average inventory is about ___ cartons.
Given the optimal order quantity calculated above, if the average inventory is 136 cartons, then the monthly holding cost is ____ dollars, and the total cost including the cost of supply or the total unit cost for all units, holding and ordering is___ dollars.
The reorder point is ___ cartons.
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