Question 7 The annual requirement for materials AB of Amor Company total 21,000 units. The cost to make an order is P50 and the carrying cost is 8% per annum. The price of material AB is P60 per unit. The Economic Order Quantity must be ? 187 units O 468 units 794 units O 662 units

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter15: Managing Short-term Assets
Section: Chapter Questions
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Question 7
The annual requirement for materials AB of Amor Company total 21,000 units. The
cost to make an order is P50 and the carrying cost is 8% per annum. The price of
material AB is P60 per unit. The Economic Order Quantity must be ?
187 units
468 units
794 units
O 662 units
Transcribed Image Text:Question 7 The annual requirement for materials AB of Amor Company total 21,000 units. The cost to make an order is P50 and the carrying cost is 8% per annum. The price of material AB is P60 per unit. The Economic Order Quantity must be ? 187 units 468 units 794 units O 662 units
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