Question
We need 3,000 units per year at a unit price of $25 and at a cost of $75 per order, with a carrying cost of
We need 3,000 units per year at a unit price of $25 and at a cost of $75 per order, with a carrying cost of 20%.
a. What is the EOQ size of each order?
b. What is the annual order cost?
c. What is the total annual inventory cost?
d. What is the annual inventory carrying cost?
e. How many orders per year will be made?
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Annual demandD 3000 units Unit priceP 25 Ordering costS 7...
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Intermediate Financial Management
Authors: Brigham, Daves
10th Edition
978-1439051764, 1111783659, 9780324594690, 1439051763, 9781111783655, 324594690, 978-1111021573
