What is the EOQ for beer?
A) 4 cases.
B) 8 cases.
C) 10 cases.
D) 20 cases.
E) 80 cases.
Ann Chovies,owner of the Perfect Pasta Pizza Parlor,uses 20 pounds of pepperoni each day in preparing pizzas.Order costs for pepperoni are $10 per order,and holding costs are 4 cents per pound per day.Lead time for each order is 3 days,and the pepperoni itself costs $3 per pound.
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A)20 pounds
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