The following information relates to a company . The fixed cost per order is ksh 1,500 The purchase price per unit is ksh 35 The carrying costs per unit of inventory 10% of the purchase price The annual demand is 5,000units Calculate theEconomic Order Quantity Total number of orders in a year Leadtime
The following information relates to a company . The fixed cost per order is ksh 1,500 The purchase price per unit is ksh 35 The carrying costs per unit of inventory 10% of the purchase price The annual demand is 5,000units Calculate theEconomic Order Quantity Total number of orders in a year Leadtime
Chapter15: Managing Short-term Assets
Section: Chapter Questions
Problem 19PROB
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The following information relates to a company .
The fixed cost per order is ksh 1,500
The purchase price per unit is ksh 35
The carrying costs per unit of inventory 10% of the purchase price
The annual demand is 5,000units
Calculate theEconomic Order Quantity
Total number of orders in a year
Leadtime
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