A company decides to establish an EOQ for an item. The annual demand is 400,000 units, each

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A company decides to establish an EOQ for an item. The annual demand is 400,000 units, each costing $9, ordering costs are $35 per order, and inventory carrying costs are 22%. Calculate the following:

a. The EOQ in units.

b. Number of orders per year.

c. Cost of ordering, cost of carrying inventory, and total cost.

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Introduction To Materials Management

ISBN: 978-9386873248

8th edition

Authors: Arnold J. R. Tony, Gatewood Ann K., M. Clive Lloyd N. Chapman Stephen

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Question Posted: Jul 01, 2019 08:41 AM

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A company decides to establish an EOQ for an item. The annual demand is 400,000 units, each

Question:

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A 400000 units S 35 c ...View the full answer

Introduction To Materials Management

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