1. What is the economic order quantity?

2. How many delieveries (orders) will be requested at the economic order quantity?

The Wood Furmiture company produces a specialty wood fumiture product, and has the following information available conceming its inventory items: Relevant ordering costs per purchase order $150 Relevant carrying costs per year: Required annual returnon investment 10% Required other costs peryear $1.40 Annual demand is 10,000 packages per year. The purchase price per package is$16