EOQ Calculation with Chart

Annual requirement in units $($R$)6,800$

Setup cost $($S$)$ $$80$

Holding rate $($k$)12\%$

Unit Cost $($C$)$ $$26$

Order lead time $($LT$,$ days$)6$

Number of days per year $360$

EOQ

Annual pur$$hase cost

Annual holding cost

Annual order cost

Total inventory cost

Reorder point $($ROP$,$ days$)$

Number of orders per year

Time between orders $($days$)$

Q $($UNITS$)$ AHC AOC ATC

$531$

$541$

$551$

$561$

$571$

$581$

$591$

$601$

$611$

$621$

$631$

$641$

$651$