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QUESTION
Wiley's TV Town sells VCR's. Weekly demand has averaged 40 VCR's per week. Wiley makes a gross profit of $50 per VCR sold (not including inventory...
Wiley’s TV Town sells VCR’s. Weekly demand has averaged 40 VCR’s per week. Wiley makes a gross profit of $50 per VCR sold (not including inventory costs). Holding costs are $260 per VCR per year and reorder costs are $42 per order. Lead time is 1 week and the store operates 52 weeks in a year.
