Solved

Newcastle Company Has Determined the Following Costs Are Associated with One

Question 13

Multiple Choice

Newcastle Company has determined the following costs are associated with one of its products. E=EE = E conomic order quantity (EOQ)
Q=\mathrm { Q } = Annual quantity used in units \quad \quad \quad \quad \quad 3000
P=P = Cost of placing one order ( (£) ( £ ) \quad \quad \quad \quad \quad 10
C=AC = A nnual cost of carrying one unit in stock (£) \quad 0.8
-
If the cost of placing an order is increased to £15 and the annual quantity used in units decreases to 2,000 units the economic order quantity (EOQ) is


A) 274 units.
B) 215 units.
C) 450 units.
D) 106 units.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents