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What should be the ordering quantity

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A manufacturer of electric motors is required to purchase 2400 castings per year These castings are subject to quantity discount of Rs 0 75 from quoted price of Rs 10 if the quantity purchased is 3000 units at any time If the ordering cost is Rs 100 and inventory carrying cost is 24 per year, find out

  • What should be the ordering quantity
  • Number of orders to be placed in a year
  • Order of interval, when working days in a year are 300

Reference no: EM132746234

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