Principles of Managerial Finance, Student Value Edition Plus NEW MyLab Finance with Pearson eText -- Access Card Package (14th Edition)
Principles of Managerial Finance, Student Value Edition Plus NEW MyLab Finance with Pearson eText -- Access Card Package (14th Edition)
14th Edition
ISBN: 9780133740912
Author: Lawrence J. Gitman, Chad J. Zutter
Publisher: PEARSON
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Chapter 15, Problem 15.3WUE
Summary Introduction

To calculate: The economic order quantity and reorder point.

Introduction:

Economic order quantity (EOQ):

EOQ is the order quantity ordered by a company that minimizes the total ordering and carrying costs of a firm.

Reorder point:

It is the level of inventory that triggers an action for the firm to replenish the items on stock once they have fallen to a certain predetermined level.

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Principles of Managerial Finance, Student Value Edition Plus NEW MyLab Finance with Pearson eText -- Access Card Package (14th Edition)

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