The economic order quantity (EOQ). Given information: Annual demand is 4,500 units per year Ordering cost is $75 per order Carrying cost is $3 per unit per annum

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Answer 1

Question

Chapter 20, Problem 20.19E

1.

To determine

To calculate: The economic order quantity (EOQ).

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

Carrying cost is $3 per unit per annum

2.

To determine

To compute: Annual relevant ordering cost.

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

EOQ is 475 units.

3.

To determine

To compute: The annual relevant carrying cost.

Given information:

EOQ is 475 units.

Carrying cost is $3 per unit per annum

4.

To determine

To compute: The reorder point.

Given information:

Purchase order lead time is 0.5 month.

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Answer 2

Question

Chapter 20, Problem 20.19E

1.

To determine

To calculate: The economic order quantity (EOQ).

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

Carrying cost is $3 per unit per annum

2.

To determine

To compute: Annual relevant ordering cost.

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

EOQ is 475 units.

3.

To determine

To compute: The annual relevant carrying cost.

Given information:

EOQ is 475 units.

Carrying cost is $3 per unit per annum

4.

To determine

To compute: The reorder point.

Given information:

Purchase order lead time is 0.5 month.

Expert Solution & Answer

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Answer 3

Question

Chapter 20, Problem 20.19E

1.

To determine

To calculate: The economic order quantity (EOQ).

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

Carrying cost is $3 per unit per annum

2.

To determine

To compute: Annual relevant ordering cost.

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

EOQ is 475 units.

3.

To determine

To compute: The annual relevant carrying cost.

Given information:

EOQ is 475 units.

Carrying cost is $3 per unit per annum

4.

To determine

To compute: The reorder point.

Given information:

Purchase order lead time is 0.5 month.

Expert Solution & Answer

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Answer 4

Question

Chapter 20, Problem 20.19E

1.

To determine

To calculate: The economic order quantity (EOQ).

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

Carrying cost is $3 per unit per annum

2.

To determine

To compute: Annual relevant ordering cost.

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

EOQ is 475 units.

3.

To determine

To compute: The annual relevant carrying cost.

Given information:

EOQ is 475 units.

Carrying cost is $3 per unit per annum

4.

To determine

To compute: The reorder point.

Given information:

Purchase order lead time is 0.5 month.

Expert Solution & Answer

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See solution

Answer 5

Chapter 20, Problem 20.19E

1.

To determine

To calculate: The economic order quantity (EOQ).

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

Carrying cost is $3 per unit per annum

2.

To determine

To compute: Annual relevant ordering cost.

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

EOQ is 475 units.

3.

To determine

To compute: The annual relevant carrying cost.

Given information:

EOQ is 475 units.

Carrying cost is $3 per unit per annum

4.

To determine

To compute: The reorder point.

Given information:

Purchase order lead time is 0.5 month.

Answer 6

Chapter 20, Problem 20.19E

1.

To determine

To calculate: The economic order quantity (EOQ).

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

Carrying cost is $3 per unit per annum

Answer 7

Chapter 20, Problem 20.19E

1.

To determine

To calculate: The economic order quantity (EOQ).

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

Carrying cost is $3 per unit per annum

Answer 8

2.

To determine

To compute: Annual relevant ordering cost.

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

EOQ is 475 units.

Answer 9

2.

To determine

To compute: Annual relevant ordering cost.

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

EOQ is 475 units.

Answer 10

3.

To determine

To compute: The annual relevant carrying cost.

Given information:

EOQ is 475 units.

Carrying cost is $3 per unit per annum

Answer 11

3.

To determine

To compute: The annual relevant carrying cost.

Given information:

EOQ is 475 units.

Carrying cost is $3 per unit per annum

Answer 12

4.

To determine

To compute: The reorder point.

Given information:

Purchase order lead time is 0.5 month.

Answer 13

4.

To determine

To compute: The reorder point.

Given information:

Purchase order lead time is 0.5 month.

Answer 14

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Answer 15

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Answer 16

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Answer 17

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The economic order quantity (EOQ). Given information: Annual demand is 4,500 units per year Ordering cost is $75 per order Carrying cost is $3 per unit per annum

To calculate: The economic order quantity (EOQ). Given information: Annual demand is 4,500 units per year Ordering cost is $75 per order Carrying cost is $3 per unit per annum

To compute: Annual relevant ordering cost. Given information: Annual demand is 4,500 units per year Ordering cost is $75 per order EOQ is 475 units.

To compute: The annual relevant carrying cost. Given information: EOQ is 475 units. Carrying cost is $3 per unit per annum

To compute: The reorder point. Given information: Purchase order lead time is 0.5 month.

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Chapter 20 Solutions

To calculate: The economic order quantity (EOQ).

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

Carrying cost is $3 per unit per annum

To compute: Annual relevant ordering cost.

Given information:

Annual demand is 4,500 units per year

Ordering cost is $75 per order

EOQ is 475 units.

To compute: The annual relevant carrying cost.

Given information:

EOQ is 475 units.

Carrying cost is $3 per unit per annum

To compute: The reorder point.

Given information:

Purchase order lead time is 0.5 month.