What is the EOQ for Chip

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Question - Raziel Manufacturing Company uses 1,000 units of Chip annually in its production. Order costs consist of P10 for placing a long-distance call to make the order and P40 for delivering the order by truck to the company warehouse. Each Chip costs P100 and the carrying costs are estimated at 16.625% of the inventory cost. What is the EOQ for Chip?

Reference no: EM132962558

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