What is economic order quantity-monthly inventory cost

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Reference no: EM131027499

William Beville’s computer training school, in Richmond, stocks workbooks with the following characteristics:

If Demand = 8,000 per month, Ordering cost = $45 per order, and Holding cost = $2 per unit per month,

a) What is the economic order quantity?

b) What is the total monthly inventory cost?

c) How do your above answers change if the holding cost doubles?

d) What if the holding cost drops in half?

Reference no: EM131027499

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