The order quantity that will minimize the sum of ordering

Reference no: EM13319816

A car rental agency uses 96 boxes of staples a year. The boxes cost $4 each. It costs $10 to order staples, and carrying costs are $0.80 per box on an annual basis.

Determine:

A) the order quantity that will minimize the sum of ordering and holding boxes of staples

B) the annual cost of ordering and carrying the boxes of staples

Reference no: EM13319816

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