Melchar Company uses 78,125 pounds of oats each year. The cost of placing an order is $18,

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Melchar Company uses 78,125 pounds of oats each year. The cost of placing an order is

$18, and the carrying cost for one pound of sucrose is $0.45.

Required:
1. Compute the economic order quantity for sucrose.
2. Compute the carrying and ordering costs for the EOQ.LO1

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Related Book For  book-img-for-question

Introduction To Cost Accounting

ISBN: 9780538749633

1st International Edition

Authors: Don R. Hansen, Maryanne Mowen, Liming Guan, Mowen/Hansen

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