A local whole seller for Lipton tea estimates an annual demand of tea at 4200 kgs. It costs RO 10 to make and receive an order, and it takes 16 workdays to receive it. The annual holding cost is 15 % of purchase price. The price RO 1 per kg. The company is operating 6 days per week. What is the economic order quantity (EOQ) in kg? Round-up to the nearest integer-

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A: Following is the answer to the given question

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A: SOLUTION- FORMULA- ECONOMIC ORDER QUANTITY= 2×A××O/C A= ANNUAL DEMAND…

Q: XYZ Inc. needs 325 of a material per month. It costs OMR 100 to make and receive an orderand it…

A: Annual demand=Quantity per month×12=325×12=3,900 kg

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