Question: 6.4 Basic Economic order quantity A Tiger Wheel and Tyre franchise has forecast that it will sell 28 800 4x4 tyres during the next year.

6.4 Basic Economic order quantity A Tiger Wheel and Tyre franchise has forecast that it will sell 28 800 4x4 tyres during the next year. The annual holding cost is expected to be N$48 and ordering cost N$225. The franchise operates 288 days a year. Task: 1. 2. Determine the optimal EOQ. Determine the number of times that the franchise will have to reorder per year. Determine the length of the order cycle. Determine the total annual cost. 3. 4. COPYRIGHT OXFORD UNIVERSITY PRESS 2013

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