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Inventory Management Problem. The EOQ formula is : 2DCo/Ch D (annual demand for cases of Pepsi) = 48,000 CO (cost of placing an order)
Inventory Management Problem. The EOQ formula is : 2DCo/Ch D (annual demand for cases of Pepsi) = 48,000 CO (cost of placing an order) = $50 1 (annual inventory holding charge as % of cost) = 20% C (cost per case) = $10 Ch= (holding cost per unit)= $2. What is the economic order quantity (EOQ) of Pepsi?
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Managerial Economics
Authors: Paul Keat, Philip K Young, Steve Erfle
7th edition
0133020266, 978-0133020267
