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Determine the economic order quantity

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Reference no: EM132867367

A retailer has an annual demand of 85,000 for a hot selling camera. Preparing an order and receiving a shipment of camera involves a cost of $ 18.00 per order. Annual carrying costs are $7.50 per camera per year.

i. Determine the economic order quantity?

ii. What will be the average number of camera on hand?

iii. How many orders per year will there be?

iv. Compute the total cost of ordering and carrying cameras

Please solve it in the full formula and detail explain answer

Reference no: EM132867367

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