Mc Donald's sells 1500 burgers per year. The cost to place an order for raw materials is RO 40. The cost of one burger is RO 0.600 and the carrying cost is 20% of the cost. Find the Economic Order Quantity. a. 1000 units O b. 2000 units Oc. 1500 units O d. 800 units

Survey Of Economics
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ISBN:9781337111522
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter6: Proudction Costs
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Mc Donald's sells 1500 burgers per year. The cost to place an order for raw materials is RO 40.
The cost of one burger is RO 0.600 and the carrying cost is 20% of the cost. Find the Economic
Order Quantity.
a.
1000 units
b.
2000 units
1500 units
Od.
800 units
Transcribed Image Text:Mc Donald's sells 1500 burgers per year. The cost to place an order for raw materials is RO 40. The cost of one burger is RO 0.600 and the carrying cost is 20% of the cost. Find the Economic Order Quantity. a. 1000 units b. 2000 units 1500 units Od. 800 units
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