Answer:
(A) Fill in the table by keeping above information into consideration.
| Order size | Order per year | Average inventory | Ordering cost | Carrying cost | Total cost |
| 200,000 | 1 | 100,000 | 75 | 10,000 | 10075 |
| 100,000 | 2 | 50,000 | 150 | 5000 | 5150 |
| 50,000 | 4 | 25000 | 300 | 2500 | 2800 |
| 20,000 | 10 | 10,000 | 750 | 1000 | 1750 |
| 10,000 | 20 | 5000 | 1500 | 500 | 2000 |
(b) Which order is placed by SNT according to the table and why?
SNT place order with order size20,000 because it provide low total cost .
(c) Find economic order quantity. Is your answer is consistent with your finding in part (b)?
It is very simple apply formula of economic order quantity and solve it
On Wed, Jun 15, 2011 at 8:41 PM, Ashu <care4nice@gmail.com> wrote:
yar koi Allah ka bnda bndi share kar de ye kisi nay toh bnai hogi ???--
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