a company uses annually 48,000 units of raw material costing rs. 1.20 per unit. placing each order costs rs. 45 and the carrying cost is 15% per year of the average inventory i) find the eoq ii) supposing that the company follows the eoq purchasing policy, that it operates for 300 days a year, that the procurement time is 12 days and the safety stock is 500 units. find the re-order point, maximum, minimum and average inventories.
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Answer:
eoq=5000units/cycle
Explanation:
eoq=5000 units/cycle
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