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Ordering quantity for nashville records inc

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Reference no: EM132285139

Given the following information, what is the economic ordering quantity (EOQ) for Nashville Records Inc.?

Total demand (sales) = 15,625 units per year

Selling price = $10 per unit

Purchase price (cost) = $5

Carrying costs = 25 percent of inventory value

Fixed cost per order = $1,000

  • 3,536 units
  • 1,581 units
  • 3,953 units
  • 5,000 units
  • 2,500 units

Reference no: EM132285139

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