Calculate the economic order quantity

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Reference no: EM131920762

Clap Off Manufacturing uses 1,150 switch assemblies per week and then reorders another 1,150. Assume the relevant carrying cost per switch assembly is $5.50 and the fixed order cost is $625. (Enter your answer as directed, but do not round intermediate calculations.)

Required:

(a) Calculate the carrying costs. (Round your answer to 2 decimal places (e.g., 32.16).)

Carrying costs $

(b) Calculate the restocking costs.

Restocking costs $

Economic order quantity

(d) Calculate the EOQ number of orders per year. (Round your answer to 2 decimal places (e.g., 32.16).)

Number of orders per year

Reference no: EM131920762

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