What is the average inventory for the season

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Question - Blossom Electrical, one of the largest generator dealers in Phoenix, sells about 1,500 generators a year. The cost of placing an order with its supplier is $600, and the inventory carrying costs are $130 for each generator. Blossom likes to maintain safety stock of 13 generators at all times.

What is the firm's EOQ?

How many orders will the firm need to place this year?

What is the average inventory for the season?

Reference no: EM132991285

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