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One of the Bestselling Items Your fiRm Offers Sells for $19.99

Question 136

Multiple Choice

One of the bestselling items your firm offers sells for $19.99 a unit. The variable cost per unit is $11.59 and the carrying cost per unit is $.58. You sell 10,415 of these units each year. The fixed cost
To order this item is $65. What is the economic order quantity?


A) 1,080 units
B) 1,314 units
C) 1,528 units
D) 1,773 units
E) 1,946 units

Correct Answer:

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