A company has Rs 4 per year carrying cost on each unit of inventory, an annual usage

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A company has Rs 4 per year carrying cost on each unit of inventory, an annual usage of 50,000 units and an ordering cost of Rs 100 per order. Calculate the economic order quantity.

What shall be the total annual cost of EOQ?

If a quantity discount of Re 0.25 per unit is offered to the company when it purchases in lots of 1,000 units, should the discount be accepted?

Related Book For answer-question

Cost Accounting

ISBN: 978-0759338098

14th edition

Authors: William K. Carter

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Posted Date: Apr 03, 2024 11:59 PM

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A company has Rs 4 per year carrying cost on each unit of inventory, an annual usage

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Cost Accounting

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