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.

Answer rating: 100% (QA)

Ordering Costs Ordering cost per order200000405000 Ordering Cost in 20215000115500 batch of 12000 un... View the full answer