Post Card Depot, an large retailer of post cards, orders 8291.440 post cards per
ID: 2802146 • Letter: P
Question
Post Card Depot, an large retailer of post cards, orders 8291.440 post cards per year from its manufacturer. Post Card Depor plans on ordering post card 13 times over the next year. Post Card Depot receives the same number of post cards each time it orders. The carrying cost is $0.18 per post card per year. The ordering cost is $296 per order What is the annual total inventory management costs of post card inventory? Round the answer to two decimal places). Your Answer se onse Answer Save Page 3 of 3 Save All Responses Go to Submit QuizExplanation / Answer
Per year order = 8,291,440
Next year order = 13 x 8,291,440 = 10,77,88,720
Carrying cost = $0.18 per card
Ordering cost = $296 per order
Inventory management cost = 13 times per order quantity cost + carrying cost per card x number of cards
Inventory managemnet cost = (13 x 296) + (0.18 x 10,77,88,720)
= $3,848 + $19,401,969.6 = $19,405,817,6