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Madhuban group manufactures a product

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Reference no: EM131829136

Madhuban group manufactures a product. The following particulars are as follows: 5

Monthly demand 1000 units

Cost of placing an order Rs. 100

Annual carrying cost per unit Rs. 15

Normal usages 50 units per week

Minimum usages 25 units per week

Maximum usages 75 units per week

Re-order period 4 to 6 weeks

Compute:

(1) Economic order quantity

(2) Re-order level

(3) Minimum stock level

(4) Maximum stock level

(5) Average stock level

Reference no: EM131829136

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