Determine the least costly order quantity if: EOQ = 3,500 units K = $10 per unit H

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Determine the least costly order quantity if:

EOQ = 3,500 units

K = $10 per unit

H = $50 per unit

A = 306,250 units

Quantity discounts:

0 – 250.....................................$10 per unit

251− 500....................................$9 per units

501−750.....................................$8.10 per unit

751−1,000..................................$7.29 per unit

Above 1,000...............................$6.55 per unit

a. 350 units

b. 501 units

c. 751 units

d. 1,001 units

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Cost Management Measuring, Monitoring and Motivating Performance

ISBN: 978-1119185697

3rd Canadian edition

Authors: Leslie G. Eldenburg, Susan K. Wolcott, Liang Hsuan Chen, Gail Cook

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Question Posted: Oct 08, 2018 12:27 PM

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Determine the least costly order quantity if: EOQ = 3,500 units K = $10 per unit H

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d 1001 units Quantity Carrying Costs Q2 x 50 Ordering Cost...View the full answer

Cost Management Measuring, Monitoring and Motivating Performance

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