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    Operations Management Study Set 1
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    Exam 13: Inventory Management
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    If Unsold Copies Can Be Returned for Half Credit and Copies
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If Unsold Copies Can Be Returned for Half Credit and Copies

Question 98

Question 98

Essay

If unsold copies can be returned for half credit and copies sell for $4.25 each, find the optimal stocking level.

Correct Answer:

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Ce = $1.50/2 = $.75 Cs = $4.25...

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