For supply item hm bertha company has been ordering 130

Reference no: EM13603554

For supply item HM, Bertha Company has been ordering 130 units based on the recommendation of the sales person. Who calls on the company monthly. The company has hired a new purchasing agent, who wants to start using economic-order-quantity method and its supporting decision elements. She has gathered the following information: Annual demand in units 500 Days used per year 500 Lead time, in days 30 Ordering cost $125 Annual unit carrying cost $20 Determine the EOQ, average inventory, orders per year, average daily demand, reorder point, annual ordering cost, and annual carrying cost.

Reference no: EM13603554

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