User:QuestionBaby/sandbox

Question: Would you please explain the connection among COGs value,inventory value,WIP value and annual cost of carring inventory? How do you calculate them based on below assumes.

example: prodcution lead time is 5wks,annual COGs value 36M USD,assuming a company works 50wks per year, the annual cost of carrying inventory was 20% of the inventory value.

Thanks a lot.