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Determine the order quantity

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Reference no: EM133253063

Perfect Shape Company uses EOQ logic to determine the order quantity for its various components and is planning its orders. The Annual consumption is 90,000 units, Cost to place one order is P1,500, Cost per unit is P85 and carrying cost is 5% of Unit cost.

Find:

1. EOQ,

2. No. of order per year,

3. Ordering Cost

4. Carrying Cost

5. Total Cost of Inventory.

Reference no: EM133253063

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