Macpack products orders materials from its suppliers

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Reference no: EM1381172

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: EM1381172

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