ABC manufacturing company purchases 9000 parts of a machine for its annual requirement, ordering… 1 answer below »

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ABC manufacturing company purchases 9000 parts of a machine for its annual requirement, ordering cost per order is shillings 15 and the carrying charges are 15% of the average inventory per year. You have been asked to suggest a more economical purchasing policy for the company. What would you offer and how much would it save the company per year?

 
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