he monthly consumption of wheat is 50,000 kgs for Nabil Company. The per unit (kg) cost is OMR 0.550, the ordering cost is OMR 80 per order and the carrying cost is 20% of the cost of inventory. The economic order quantity is; a. 1321 b. 29542 c. 2954 d. 13211

he monthly consumption of wheat is 50,000 kgs for Nabil Company. The per unit (kg) cost is OMR 0.550, the ordering cost is OMR 80 per order and the carrying cost is 20% of the cost of inventory. The economic order quantity is; a. 1321 b. 29542 c. 2954 d. 13211

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

The monthly consumption of wheat is 50,000 kgs for
Nabil Company. The per unit (kg) cost is OMR 0.550,
the ordering cost is OMR 80 per order and the
carrying cost is 20% of the cost of inventory. The
economic order quantity is;
a. 1321
b. 29542
c. 2954
d. 13211

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