Business, 24.01.2020 02:31 saltytaetae

Josh, inc. is faced with the choice of either producing a newly designed product, xx-30, to stock in anticipation of demand or to customer order. the demand for the product is expected to be 5,000 units per week. josh decided to produce xx-30 in lots of 500 units. the cost of holding the average unit in inventory per year is $50 times the average inventory level. if josh, inc. produces to order, it must discount its unit price on all sales $5 for each week that the first customer to order has to wait before the product is delivered. should josh, inc. produce to stock or to order?

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Josh, inc. is faced with the choice of either producing a newly designed product, xx-30, to stock in...

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