Norwich Company has determined the following costs are associated with one of its products. conomic order quantity (EOQ)
Annual quantity used in units 4800
Cost of placing one order (f) 3
nnual cost of carrying one unit in stock (E) 8
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If the cost of carrying one unit in stock is increased to £4 and the annual quantity used in units decreases to 14,000 units the economic order quantity (EOQ) is
A) 1222 units.
B) 1122 units.
C) 1000 units.
D) 1025 units.
Correct Answer:
Verified
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Q16: Norwich Company has determined the following
Q18: Newcastle Company has determined the following
Q19:
The reorder point is
A)925 units.
B)700 units.
C)1320 units.
D)810
Q20: Norwich Company has determined the following
Q21: Improving manufacturing flow lines is not relevant
Q22: Stock ordering costs are incurred each time
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