Question: You have decided to use the economic order quantity ( EOQ ) calculation to determine the order quantity for a product you purchase from a
You have decided to use the economic order quantity EOQ calculation to determine the order quantity for a product you purchase from a supplier. For this particular item, the daily demand is units. The unit cost is $ and the supplier charges you a fee of $ each time you place an order to cover clerical and shipping costs You have checked with accounting, who told you the annual inventory carrying cost for this type of item is If you consistently order the EOQ quantity, how many days on average would you expect between placing orders? Assume that there are days in each year and round your answer to the nearest integer value.
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