A large bakery buys flour in 25-pound bags. the bakery uses an average of 1,215 bags a year. Preparing an order and receiving a shipment of flour involves a cost of $10 per order. Annual carrying costs are $75 per bag. Determine the economic order quantity.What is the average number of bags on hand?

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17-06-2024
Business

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A large bakery buys flour in 25-pound bags. the bakery uses an average of 1,215 bags a year. Preparing an order and receiving a shipment of flour involves a cost of $10 per order. Annual carrying costs are $75 per bag. Determine the economic order quantity.What is the average number of bags on hand?

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