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Clap Off Manufacturing uses 2,500 switch assemblies per week and then reorders another 2,500. Assume the relevant carrying cost per switch assembly is $6.20 and
Clap Off Manufacturing uses 2,500 switch assemblies per week and then reorders another 2,500. Assume the relevant carrying cost per switch assembly is $6.20 and the fixed order cost is $560. |
Required: | |
(a) | Calculate the carrying costs. (Do not include the dollar sign ($).) |
Carrying costs | $ |
(b) | Calculate the restocking costs. (Do not include the dollar sign ($).) |
Restocking costs | $ |
(c) | Calculate the economic order quantity. (Round your answer to 2 decimal places (e.g., 32.16).) |
Economic order quantity. |
(d) | Calculate the EOQ number of orders per year. (Round your answer to 2 decimal places (e.g., 32.16).) |
Number of orders per year |
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