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The following information relates to questions 1 and 2 You are the cost accountant of Gau Construction (Pty) Ltd and your company purchases its bricks

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The following information relates to questions 1 and 2 You are the cost accountant of Gau Construction (Pty) Ltd and your company purchases its bricks in lots of 2500 units, and its annual usage stands at 12500 . Ordering costs amount to R250 per order: with carrying costs standing at R12 per unit per year. What is your company's EOQ rounded to the nearest whole number? \begin{tabular}{l} 750 units \\ 785 units \\ 650 units \\ 722 units \\ \hline \end{tabular} Question 2 1 pts How much is the annual cost savings if your company changes from an order size of 2 500 to the EOQ; round off to the nearest rand? R7760 R 6870 R 8677 R7668

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