Question: A factory uses annually 2 4 , 0 0 0 units of raw material which costs 1 . 2 5 per unit. Placing each order

A factory uses annually 24,000 units of raw material which costs 1.25 per unit. Placing each order cost Rs 25 and carrying cost is 6% per year of average inventory
i) Find out the economic order quantity
ii) how many orders are to be placed in a year
iii) What is the total inventory cost for the year including the cost of material

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