Rocky mountain tire center sells 12000 go cart tires per


Rocky mountain tire center sells 12,000 go cart tires per year. The ordering cost for each order is $40, and the holding cost is 40% of the purchase price of the tires per year. The purchase price is $25 per tire if fewer than 200 tires are orderd, $18 per tire if 200 or more are ordered, but fewer than 5,000 tires are ordered, and $14 per tire if 5,000 or more tires are ordered.

A) rocky mountains optimal order quantity is ____ units?

B) what is the total cost of this policy?

Request for Solution File

Ask an Expert for Answer!!
Operation Management: Rocky mountain tire center sells 12000 go cart tires per
Reference No:- TGS01496336

Expected delivery within 24 Hours