What is the new eoq

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Reference no: EM13271089

Economic order quantity (eoq). Tinnendo Inc. believes it will sell 4 million zen-zens, an electronic game, this coming year. Note that this figure is for annual sales. The inventory manager plans to order zen-zens 49 times over the next yearr. The carrying cost is $0.04 per zen-zen per year. The order cost is $544 per order. It turns our that the marketing manager has underestimated the zen-zen market. The zen-zens are a smash, and current estimates are that the company will sell 8 million of tem per year. Should the inventory manager simply double the EOQ order quantity? Find the new EOQ and verify that it is the correct order quantity by findin the new carrying cost andnew ordering cost.

What is the new EOQ? zen-zens (round to the neaest whole unit.)

 

Reference no: EM13271089

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