Starbucks coffee shop at Sauganash, Chicago purchases coffee beans in 15-pound bags. The coffee shop uses 5000 bags of coffee beans each year. Carrying/holding costs are $20 per bag per year. Ordering...



Starbucks coffee shop at Sauganash, Chicago purchases coffee beans


in 15-pound bags. The coffee shop uses 5000 bags of coffee beans each year. Carrying/holding costs are $20 per bag per year. Ordering costs are estimated at $5 per order. Assume that the coffee shop is open 250 days a year and its daily demand is estimated at 20 bags. It takes 5 days for each order of coffee beans to be filled. What is the total cost of ordering and holding flour?Question 37 options:$100$500$50$1000$25




Dec 06, 2021
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