One of the products that Justine Corporation sells is "Extra Soft" floor mats. Justine's ordering costs related to the mat is P12.50 per order. The cost of carrying one mat for one year is P16.00. Justine sells 40, 000 of these mats evenly throughout the year.

1. What is the economic order quantity of Justine Corporation?
2. What is Justine's total ordering costs per year under EOQ?
3. What is Justin's total carrying costs per year at the economic order quantity?

Answer rating: 100% (QA)

To calculate the economic order quantity EOQ total ordering costs per year and total carrying costs ... View the full answer