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Approximate total inventory cost at the new eoq

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Reference no: EM132750694

A product whose total inventory cost (ordering cost + holding cost) at EOQ is $100,000 experiences an increase in annual demand from 1,000,000 units to 2,000,000 units. What will be the approximate total inventory cost at the new EOQ?

  • $141,000
  • To answer the question, holding cost per unit(H) and cost per order(S) are required.
  • $106,000
  • $70,000
  • $200,000

Reference no: EM132750694

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