12.

1 )

a) Most expensives item fish fillets

b) C items

c) Annual dollar volume - $8151

12.2 )
ITEM CLASS

QUANTITY

CYCLE
COUNTING
POLICY

A
B
C

700
2450
3850

Monthly
Quarterly
semianually

12.4 )
a)

b)

NUMBER OF
ITEMS
COUNTED PER
DAY
700/20 = 35
2450/60 = 41
3850/120 =
32
108/day

12.5 )

a) EOQ 493.71
b) Annual holding cost 987.42
c) Annual ordering cost 987.42

12.23 )

a) EOQ 118.32
b) Allen
c)

12.24 )