Behavior of Ordering Costs and Carrying Costs Assume an annual requirement of 24,000 units, a cost per
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Behavior of Ordering Costs and Carrying Costs
Assume an annual requirement of 24,000 units, a cost per unit of P20, a cost per order of P750, and a carrying cost percentage of 20%. Considering order size of 1,200, 1,500, 2,000, 3,000, 4,000, 6,000, 12,000 and 24,000, determine the total ordering costs and total carrying costs.
Related Book For
Intermediate Accounting
ISBN: 978-0324659139
11th edition
Authors: Loren A. Nikolai, John D. Bazley, Jefferson P. Jones
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