You must be a registered user and login to this site before practicing questions on this software. 
Use user login form to login or to request for new account. 
Use contact form if you require further assistance on this issue.

Currently the company has an annual demand of 10,000 units of inventory. Average cost per order is $7 and supplier takes from 5 to 21 days to deliver after receiving order.
 
Normal purchase price of the product is $40, however; for an order of 1,500 units supplier gives a discount of 5%.
 
Annual cost of holding one unit in stock =$2.
 

Evaluate whether entity should buy EOQ or 1,500 units of goods per order?

Requirements:

Evaluate whether entity should buy EOQ or 1,500 units of goods per order?

Marks: 5

Answers submitted

Created by Ref Marking Action
Kamrul Hasan's picture
Kamrul Hasan
11/01/2020 - 13:23

9972
5
Naima Husne Jahan's picture
Naima Husne Jahan
08/17/2020 - 13:44

9416
5
Rakhi Gupta's picture
Rakhi Gupta
08/06/2020 - 14:11

9324
5