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A manufacturing firm has the following estimates for its inventory: 100,000 oz. of silver (D) is required for production each month Ordering Costs are $50.00/order

  1. A manufacturing firm has the following estimates for its inventory:
    • 100,000 oz. of silver (D) is required for production each month
    • Ordering Costs are $50.00/order (OC)
    • Holding Costs are $1/oz. (HC)
  1. Calculate the EQQ based on the information;
  2. Whats the total cost at this EQQ units

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