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PROBLEM 8 The Complete Gardener is deciding on the economic order quantity for two brands of lawn fertilizer : Super Grow and Nature's Own. Following
PROBLEM 8 The Complete Gardener is deciding on the economic order quantity for two brands of lawn fertilizer : Super Grow and Nature's Own. Following information is collected : Fertilizer Super Grow Nature's Own Annual Demand 2,000 Bags 1,280 Bags Relevant ordering cost per purchase order $1,200 $1,400 Annual relevant carrying cost per bag $480 $560 Required: (i) Compute EOQ for Super Grow and Nature's Own. (ii) For the EOQ, what is the sum of the total annual relevant ordering costs and total annual relevant carrying costs for Supper Grow and Nature's Own? (iii) For the EOQ, compute the number of deliveries per year for Super Grow and Nature's Own
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