Question: MATHOZ SECTION B Instructions: Answer any THREE (3) questions from this sections. Question 1 A company uses 100 units per year which cost $55 cach,

MATHOZ SECTION B Instructions: Answer any THREE
MATHOZ SECTION B Instructions: Answer any THREE (3) questions from this sections. Question 1 A company uses 100 units per year which cost $55 cach, Carrying costs are 15% per annum and . ordering costs are $5 per order. Calculate the economic order quantity (BOQ) b. How many orders should be placed per year? How many days should be between orders? c. d. If the company decides to make the items on its own machine with a potential capacity of So0 units per year, calculate the batch order quantity (BOQ), the annual ordering cost and the annual carrying cost. (Total 25 marks)

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