Question: Consider the ordering cost is Rs . 4 5 0 0 / order. The cost of each item is Rs . 2 5 0 0

Consider the ordering cost is Rs.4500/ order. The cost of each item is Rs.2500 and holding cost is 10% per year, If the annual requirement is 10,000 units, determine Economic order quantity (EOQ).If the inventory holding cost decreases by 10% and ordering cost increases by 10%, determine the change in EOQ. What do you infer?

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