(Solved): The Universal Computer Company uses a newly developed A1 chip in the manulacturer of their tablet c ...
The Universal Computer Company uses a newly developed A1 chip in the manulacturer of their tablet computers. The estimatod annual demand for this chip is 12,000 units. It is estimated that the cost to place an order is \( \$ 75 \), and the holding cost for each chip is \( \$ 20 \) per year. The company operates 320 days per year What is the lotal annual holding and oidering costs it the Universal Compuler Company orders using the EOQ quanky? A. less than or equal to \( \$ 3,000 \) B. Greater than \( \$ 3000 \) but less than of equal to \( \$ 5,000 \) C. Greater than \( \$ 5,000 \) but less than or equal to \( \$ 7,000 \) D. greater than \( \$ 7,000 \)