The uptown kilnestimates its annual demand to be 900 units

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Reference no: EM13472232

The Uptown Kiln is an importer of ceramics from overseas. It hasarranged to purchase a particular type of ceramic pottery from aKorean artisan. The artisan makes the pottery in 120-unit batches andwill ship only that exact amount. The transportation and handling costof a shipment is $7,600 (not including the unit cost). The uptown Kilnestimates its annual demand to be 900 units. What storage andhandling cost per unit does it need to achieve in order to minimize itsinventory cost?

Reference no: EM13472232

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