XYZ Company is specialized in mangoes distribution in the city of Muscat. Sales are 500 boxes (unit) per month. It costs OR 100 to make and receive an order and holding cost is OR 4.5 per box per year. The prices depend on quantities purchased such that the order quantities from 1 to 199 at a unit price RO 5; quantity 200 to 499 at a unit price 4.5 RO; and quantity 500 and more at a per unit price of 4 RO. What is the Economic Order Quantity (EOQ) while not consider the purchase cost? Round - up to the nearest integer ?? a. 600 units b. 180 units C. 199 units d. None is correct e. 164 units f. 517 units

Practical Management Science
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ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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11. XYZ Company is specialized in mangoes distribution in the city of Muscat. Sales are 500 boxes (unit) per month. It costs OR 100 to make and receive an order and holding cost is OR 4.5 per box per year. The prices depend on quantities purchased such that the order quantities from 1 to 199 at a unit price RO 5; quantity 200 to 499 at a unit price 4.5 RO; and quantity 500 and more at a per unit price of 4 RO. What is the Economic Order Quantity (EOQ) while not consider the purchase cost? Round - up to the nearest integer ?? a. 600 units b. 180 units C. 199 units d. None is correct e. 164 units f. 517 units
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