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9) Carter Company orders 250 units at a time, and places 30 orders per year. Total ordering cost is $2,600 and total carrying cost is
9) Carter Company orders 250 units at a time, and places 30 orders per year. Total ordering cost is $2,600 and total carrying cost is $400. Which of the following statements is true?
a) The economic order quantity (EOQ) is less than 250. | ||
b) The economic order quantity (EOQ) is 250. | ||
c)The economic order quantity (EOQ) is more than 250. | ||
d) Total inventory-related cost for the current ordering plan is less than it would be at the economic order quantity (EOQ). |
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