To determine the most economic order quantity $($EOQ$)$ for Toffee Inc.$\text{'}$s sales and distribution division, we can use the EOQ formula:

EOQ$=\sqrt[\phantom{2}]{\frac{2DS}{H}}$

Where:

$D$ is the annual demand for chocolate bars.

$S$ is the ordering cost per order.

$H$ is the holding cost per unit per year.

To compute the number of orders per year, we use the formula:

Number of Orders per Year $=\frac{D}{\text{E}\text{O}\text{Q}}$

And to find the order cycle $($the time between orders$),$ we can use:

Order Cycle $=\frac{365}{\text{N}\text{u}\text{m}\text{b}\text{e}\text{r}of\text{O}\text{r}\text{d}\text{e}\text{r}\text{s}\text{p}\text{e}\text{r}\text{Y}\text{e}\text{a}\text{r}}$

Let's assume the following: