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Using the Data Below, Find the EOQ, the Total Annual

Question 77

Essay

Using the data below, find the EOQ, the total annual cost associated with the economic order quantity, and the reorder point.
 Annul Demand: 15,000 units  Weeks Operating: 52 weekslyear  Ordering Costs: $60/0rder Holding Costs: $7/h wetyear  Lead-Time: 5 weeks \begin{array} { l l } \text { Annul Demand: } & 15,000 \text { units } \\\text { Weeks Operating: } & 52 \text { weekslyear } \\\text { Ordering Costs: } & \$ 60 / 0 r d e r \\\text { Holding Costs: } & \$ 7 / h \text { wetyear } \\\text { Lead-Time: } & 5 \text { weeks }\end{array}

Correct Answer:

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Q* = Sq. root of (2 x 15000 x 60/7) = ...

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