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Determine the eoq quantity for sandrington

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Reference no: EM133135636

Question - Sandrington Ltd. operates a retail bicycle shop. Wheel covers are popular with customers. Sandrington purchases these covers for $48 per pair, and expects to sell 5,000 pairs per year. Ordering costs are estimated at $180 per order and relevant insurance handling etc. costs are estimated at $3.60 per month. The company has established a 14% annual return on investment. Determine the EOQ quantity for Sandrington?

Reference no: EM133135636

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