Find the economic order quantity

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Find the economic order quantity, total cost and the reorder point, given

Annual demand ( D ) = 1,000 units

Average daily demand ( d ) = 1,000/365

Ordering cost ( Cp ) = $5 per order

Holding cost ( Ch ) = $1.25 per unit per year

Lead time ( L ) = 5 days

Cost per unit ( C ) = $12.50

What quantity should be ordered?

Reference no: EM13694610

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