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Business, 05.03.2020 07:20 lucywood2024

What is the annual inventory cost of the current system in

which product is produced, labeled, and packed in Malaysia

before being shipped to the DC?

2. How would the inventory cost change if labeling and packaging

were moved to the DC? Evaluate the change in

inventory costs as the correlation coefficient of demand

between any pair of customers varies from 0 to 0.5 to 1.0.

3. How should PE set up its production, labeling, and packaging

processes? Does your answer change if the additional

cost of labeling and packaging at the DC is reduced

to $1 (from the current value of $2)?

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Answers: 2

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What is the annual inventory cost of the current system in

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