Question

Chavez Chemical Inc. requires 20,000 gallons of material annu- ally; the cost of placing an order is $20; the annual carrying cost per gallon is $5.

Required:
Determine the EOQ from potential order sizes of 300, 400, 500, 600, 700, and 800 gallons by constructing a table similar to the one appearing on page71.


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  • CreatedMay 05, 2014
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