Firm Tezla produces the product QuickCar. Annual demand for QuickCar is 600600 units per year on a continuous basis. The product has inventory holding costs of $30$30 per unit per year and order costs of $300$300 per order. It takes 3030 days to receive a shipment after an order is placed. Calculate the economic order quantity (EOQ). a. 7777 units b. 110110 units c. 6060 units
Firm Tezla produces the product QuickCar. Annual demand for QuickCar is 600600 units per year on a continuous basis. The product has inventory holding costs of $30$30 per unit per year and order costs of $300$300 per order. It takes 3030 days to receive a shipment after an order is placed. Calculate the economic order quantity (EOQ). a. 7777 units b. 110110 units c. 6060 units
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Firm Tezla produces the product QuickCar. Annual demand for QuickCar is 600600 units per year on a continuous basis. The product has inventory holding costs of $30$30 per unit per year and order costs of $300$300 per order. It takes 3030 days to receive a shipment after an order is placed. Calculate the economic order quantity (EOQ).
a.
7777 units
b.
110110 units
c.
6060 units
d.
4444 units
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