question archive 13-4 McBurger orders ground meat at the start of each week to cover the week's demand of 300 lb
13-4 McBurger orders ground meat at the start of each week to cover the week's demand of 300 lb
Subject:ManagementPrice: Bought3
13-4 McBurger orders ground meat at the start of each week to cover the week's demand of 300 lb. The fixed cost per order is $20. It costs about $.03 per lb per day to refrigerate and store the meat. (a) Determine the inventory cost per week of the present ordering policy. (b) Determine the optimal inventory policy that McBurger should use, assuming zero lead time between the placement and receipt of an order.
