If D = 8,500 per month, S = $42 per order, and H= $2.50 per unit per month, a) What is the economic order quantity? The EOQ is b) How does your answer change if the holding cost doubles? The EOQ is c) What if the holding cost drops in half? The EOQ is units (round your response to the nearest whole number). units (round your response to the nearest whole number). units (round your response to the nearest whole number).

Practical Management Science
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ISBN:9781337406659
Author:WINSTON, Wayne L.
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If D = 8,500 per month, S = $42 per order, and H= $2.50 per unit per month,
a) What is the economic order quantity?
The EOQ is
b) How does your answer change if the holding cost doubles?
The EOQ is
units (round your response to the nearest whole number).
The EOQ is
units (round your response to the nearest whole number).
c) What if the holding cost drops in half?
units (round your response to the nearest whole number).
Transcribed Image Text:If D = 8,500 per month, S = $42 per order, and H= $2.50 per unit per month, a) What is the economic order quantity? The EOQ is b) How does your answer change if the holding cost doubles? The EOQ is units (round your response to the nearest whole number). The EOQ is units (round your response to the nearest whole number). c) What if the holding cost drops in half? units (round your response to the nearest whole number).
Expert Solution
Step 1

EOQ = √((2 x D x S) / H)

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