Vision Company sells optical equipment. Blitz Company manufactures special glass lenses. Vision orders 12,400 lenses per year, 210 per week, at $39 per len Blitz covers all shipping costs. Vision earns 20% on its cash investments. The purchase-order lead time is 2.5 weeks. Vision sells 265 lenses per week. The following data are available: Relevant ordering costs per purchase order $46.25 Relevant insurance, materials handling, breakage, and so on, per year What is the economic order quantity for Vision? OA. 294 lenses OB. 383 lenses OC. 457 lenses OD. 208 lenses $5.50 C
Vision Company sells optical equipment. Blitz Company manufactures special glass lenses. Vision orders 12,400 lenses per year, 210 per week, at $39 per len Blitz covers all shipping costs. Vision earns 20% on its cash investments. The purchase-order lead time is 2.5 weeks. Vision sells 265 lenses per week. The following data are available: Relevant ordering costs per purchase order $46.25 Relevant insurance, materials handling, breakage, and so on, per year What is the economic order quantity for Vision? OA. 294 lenses OB. 383 lenses OC. 457 lenses OD. 208 lenses $5.50 C
Chapter1: Financial Statements And Business Decisions
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