Question 3a Picture Ltd are manufacturers of picture tubes for television. The following data is available with respect to a product. (a) Cost of placing a purchase order is Rs. 20 (b) Number of units to be purchased during the year is 5,000 (c) Purchase price per unit inclusive of transportation cost is Rs. 50 (d) Annual cost of storage per units is Rs. 5 You are required to compute the Economic Order Quantity. What if the inventory maintained by the company is 500 units? (5 marks) Question 3b Avent Ltd manufacturing a single product. The selling price of the product is Rs. 500 per unit. The unit variable cost is Rs.300 per unit and a fixed cost of Rs. 2,00,000 per month is incurred. Compute the breakeven point in units and value. (5 marks)