A mail-order house uses 18,000 boxes a year. Carrying costs are60 cents per box a year, and ordering cost are $96. the follingprice schedule applies.
| Number of boxes | Price per box |
| 1,000 to 1,999 | $1.25 |
| 2,000 to 4,999 | 1.20 |
| 5,000 to 9,999 | 1.15 |
| 10,000 or more | 1.10 |
A. What is the maximum level of inventory the company would haveto plan for?
B. what is the average level of inventory the company would haveto plan for?
C. Calculate the days of inventory metric for this company(assume a 365 day work year).
