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The following data is provided by Cotton Tops, Inc a distributor of budget-priced, custom designed tee-shirts that it sells to concessionaires at various theme parks
The following data is provided by Cotton Tops, Inc a distributor of budget-priced, custom designed tee-shirts that it sells to concessionaires at various theme parks in the US. Use the following information to solve for the Economic Ordering Quantity (EOQ) and how many times a year should Cotton Tops, Inc place an order. The annual sale is 26,000 shirts per year Carrying costs are 25% of inventory value Purchase price per shirt is $4.92 Fixed cost per order is $1,000 (mainly from the labor cost of setting up the equipment)
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