Johnson Product S Places A 50 000 Order For Inventory 4 Times A Year At A Reorde

Johnson Product’s places a $50,000 order for inventory 4 times a year, at a reordering cost of $500 per order. The cost of carrying inventory is 10% per year. What is Johnson Product’s annual holding costs?

QUESTION:Johnson Product’s places a $50,000 order for inventory 4 times a year, at a reordering cost of $500 per order.The cost of carrying inventory is 10% per year. What is Johnson Product’s…

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