The operations manager for shadyside savings & loan orders cash from her home office for her very popular "big bucks" automated teller machine, which only dispenses $100 bills. she estimates that this machine dispenses an average of 12,500 bills per month, and that carrying a bill in inventory costs 10 percent of its value annually. she knows that each order for these bills costs $300 for clerical and armored car delivery costs, and that order lead time is six days. assuming a 30-day month, if she were to order 6,000 bills at a time, what would be the length of an order cycle?
a. 2.08 days
b. 6 days
c. 8.4 days
d. 14.4 days
Answers: 2
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