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What is Krause economic ordering quantity

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Question - Krause Precision Tools, Inc. will use an estimated 700,000 small processors in its manufacturing process next year. The carrying cost of processor inventory is $3.00 per unit and the cost of reordering processors is $100 per order. What is Krause's economic ordering quantity for small processors?

a. 6,340

b. 6,831

c. 7,118

d. 7,300

Reference no: EM132799906

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