Compute for the economic order quantity using the:

(a) formula and

(b) using the tabular form by providing your own six (6) assumptions.

The following data were taken from the books of Malakas Company: Annual usage of materials 600,000 units Cost of materials per unit P 2,000 Cost of placing one order P 6,000 Annual carrying cost per unit 10% of inventory value Required: Compute for the economic order quantity using the (a) formula and (b) using the tabular form by providing your own six (6) assumptions