Business, 19.03.2021 05:30, ed100

A laptop manufacturer wants to compare the total cost of assembling its laptops in the United States versus Taiwan. All of the laptops will be sold in the United States. To evaluate inventory, it uses a safety factor of 2.25. The holding cost per laptop is $4 per week in the United States and $3.50 per week in Taiwan. The lead time with U. S. production is one week, whereas it is eight weeks with production in Taiwan. In addition, it costs $2 to ship laptops to the United States from Taiwan. Weekly demand is 1000 laptops, with a standard deviation of 800. a. What is the per unit holding cost of a laptop with U. S. production

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A laptop manufacturer wants to compare the total cost of assembling its laptops in the United States...