Part One: Economic Order Quantity
Compute the economic order quantity for oats based upon the following information related to a manufacturer of granola; round to the nearest whole unit. Assume that the company operates 260 days out of the year.

Part Two: Economic Production Run
Lazer Inc. custom manufactures medical device replacement parts. The following data relate to production of Product \#101:

Compute the economic production run for Product \#101; round to the nearest whole unit.

Transcribed Image Text:

Annual usage of oats. Average number of days delay between initiating and receiving an order... Estimated cost per order..... Estimated annual cost of carrying a pound of oats. 5,000 pounds 5 $30 $0.75