Question: 2 2 farm friends. Is experiencing some inventory control problem. The manager currently orders 5,000 units five times a year to handle the annual demand
2 2 farm friends. Is experiencing some inventory control problem. The manager currently orders 5,000 units five times a year to handle the annual demand of 25,000 units. Each order costs$10 and each unit costs $2.00 to carry. The company maintains a safety stock of 500 units.
A: What is the current total annual inventory cost?
B: calculate the economic ordering quantity(EOQ)?

2 Farm Friends. is experiencing some inventory control problems. The manager, currently orders 5,000 units five times a year to handle the annual demand of 25,000 units. Each order costs $10 and each unit costs $2.00 to carry. The company maintains a safety stock of 500 units. A) What is the current total annual inventory cost? B) Calculate the economic ordering quantity (EOQ)
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