Determining the annual demand and the ordering cost

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Reference no: EM13964708

An independent demand product is managed using the Economic Order Quantity (EOQ) model. The two major decisions for the inventory analyst managing this item are

Determining the magnitude and the timing of the replenishment order.

Determining the lead time and the transportation schedule for the replenishment order.

Determining the annual demand and the ordering cost

Determining average inventory and the safety stock.

Reference no: EM13964708

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