What is delta annual demand

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Reference no: EM132075563

Keith Smart has been in the building business for most of his life. Keith's biggest competitor is Delta Birch. Through many years of experience, Keith knows that the ordering cost for an order of plywood is $150 and that the carrying cost is 25% of the unit cost. Both Keith and Delta receive plywood in loads that cost $600 per load. Furthermore, Keith and Delta use the same supplier of plywood, and Keith was able to find out that Delta orders in quantities of 300 loads at a time. Ken also knows that 300 loads is the EOQ for Delta. What is Delta's annual demand, in loads of plywood?

Reference no: EM132075563

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