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BGW Technologies ( BGW ) stocks a new model of household inverter - generator for the South African market. The following are the details of
BGW Technologies BGW stocks a new model of household invertergenerator for the South African market.
The following are the details of BGWs operations in relations to the retail of the inverters during :
Ordering cost is R per order
Inventory carrying cost is per annum
Cost of an inverter is R
Normal demand is inverters per week
Required:
Calculate the economic order quantity EOQmarks
If the supplier is willing to supply quarterly units at a discount of is it worth accepting?
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