Question

A sporting goods store sells 100 pool tables per year. It costs ​$50 to store one...

A sporting goods store sells

100

pool tables per year. It costs

​$50

to store one pool table for a year. To​ reorder, there is a fixed cost of

​$25

per shipment plus

​$18

for each pool table. How many times per year should the store order pool​ tables, and in what lot​ size, in order to minimize inventory​ costs?

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