A component manufacturer requires 5000 MT of special alloys per year. The ordering cost is $2000 per order. Unit cost per MT is $ 800. In bank charges an interest rate of 10% per year, what is the Economic Order Quantity? 1000 Units 700 Units 100 Units 500 Units

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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A component manufacturer requires 5000 MT of special alloys per year. The ordering cost is $2000 per order. Unit cost per MT is $ 800. In bank charges an interest rate of 10% per year, what is the Economic Order Quantity?

1000 Units
700 Units
100 Units
500 Units
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