Annual demand $($A$)=450$ units

Ordering cost $($CP$)=$ $$100$

Holding Cost $($CH$)=$ $$5*10\%=$ $$0\mathrm{.}5$

$=\%2($

$*$

$2.$ Daily demand $=36$ units; and work year$=365$ days

This implies, Annual demand $($A$)=36*365=13,140$ units

Holding cost per year $($CH$)=$ $$1\mathrm{.}00$ per unit

Ordering cost $($CP$)=$ $$100$ per order

a$.$ EOQ is given by:

$=\%2($

$*$

$=\%2\backslash$times $100\backslash$times $13,140$

$1$

$=1,621\mathrm{.}11$

b$.$ The number of orders processed is given by

N $=9$::;$<=>?$@$<$:$>$

ABC

$=13,140$

$1,621$

$=8\mathrm{.}11$ p$.$a$.$

$=2*100*450$

$\mathrm{.}5$

$=424\mathrm{.}26424$ unitsAnnual demand $($A$)=450$ units

Ordering cost $($CP$)=$ $$100$

Holding Cost $($CH$)=$ $$5*10\%=$ $$0\mathrm{.}5$

$=\%2($

$*$

$2.$ Daily demand $=36$ units; and work year$=365$ days

This implies, Annual demand $($A$)=36*365=13,140$ units

Holding cost per year $($CH$)=$ $$1\mathrm{.}00$ per unit

Ordering cost $($CP$)=$ $$100$ per order

a$.$ EOQ is given by:

$=\%2($

$*$

$=\%2\backslash$times $100\backslash$times $13,140$

$1$

$=1,621\mathrm{.}11$

b$.$ The number of orders processed is given by

N $=9$::;$<=>?$@$<$:$>$

ABC

$=13,140$

$1,621$

$=8\mathrm{.}11$ p$.$a$.$

$=2*100*450$

$\mathrm{.}5$

$=424\mathrm{.}26424$ units