Please answer all parts for Upvote
The local Ford dealer is concerned about having the right amountof parts in their service department. One SKU is very expensive,costing the dealer $475. In a typical week, they use 24of these parts. Their supplier usually gets new orders to thedealer within 3 weeks. Currently they order 6 weeks work of theseparts at a time (ie, 144). They use a 12% annual carrying chargerate on all of their inventory.
a. For their current replenishment policy, what is theannual cost of carrying inventory?
b. For their current replenishment policy, what is the totalannual incremental inventory cost for thisitem?
c.
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