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Table 5.85.8 Demand =52,000= 52,000 Units/year
Standard Deviation of W Eekly Demand =110= 110

Question 16

Multiple Choice

Table 5.85.8
Demand =52,000= 52,000 units/year
Standard deviation of w eekly demand =110= 110
units Ordering costs =$45= \$ 45 /order
Holding costs =$0.50/= \$ 0.50 / unit // year
Cycle- service level =90%= 90 \%
Lead time =2= 2 weeks
Number of weeks per year =52= 52 weeks
You will need to refer to a normal table to answer the question(s) .
-Use the information in Table 5.8. What is the EOQ for this item?


A) greater than 0 but less than or equal to 1500 units
B) greater than 1500 but less than or equal to 3000 units
C) greater than 3000 but less than or equal to 4500 units
D) greater than 4500 units

Correct Answer:

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