inventory models for independent demand 12.8 a. b. c.

Ullowing characteristics Demand D 19,500 units/year Holding cost H $4/unit/year a) Calculate the EOQ for the workbooks. b) What are the annual holding costs for the workbooks? c) What are the annual ordering costs? Fx 12.8 If D 8,000 per month, S $45 per order, and H $2 per unit per month, a) What is the economic order quantity? b) How does your answer change if the holding cost doubles? c) What if the holding cost drops in half? 12.9 Henry Crouch's law office has traditionally ordered ink refills 60 units at a time. The firm estimates that carrying cost is per of the $10 unit cost and that annual demand is about 240 units to apply. inninf the basic EOQ model a