Question
Financial Management: Massa Machine Tool expects total sales of 6,000. The price per unit is $10. The firm estimates an ordering cost of $25 per
Financial Management:
Massa Machine Tool expects total sales of 6,000. The price per unit is $10. The firm estimates an ordering cost of $25 per order, with an inventory cost of $0.70 per unit. What is the optimum order size?
Select one:
a. 207 units.
b. 447 units.
c. 655 units.
d. 327 units.
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Financial Management Principles And Applications
Authors: J William Petty, Sheridan Titman, Arthur J Keown, John D Martin, Peter Martin, Michael Burrow, Hoa Nguyen
6th Edition
1442539178, 9781442539174
