Question

A purchase manager places order each time for a lot of 500 units of a particular item Fromthe available data the following results are obtainedOrdes cost per order = Rs. 600Cost per unit = Rs. 50Anmal demand = Rs. 100Inventory carrying cost = 40%​

Answer 1

Answer:

AL and lakhnavi I m not doing it in a lot of time sabke samne Am not well yar aj to mera man nhi

Answer 2

Answer:

EOQ= =77.45 =78 units(approx)  and TC(Q)=1,549.19

also, for 500 units TC(Q)=Rs 6,200 (for Q* = 500 units);

Explanation:

R = 1,00 units; A = Rs 600/order; C = Rs 50;

h = 40 % of Rs 50= (40/100) × 50 = 20

Q* = $\sqrt{\frac{2AR}{h} }=\sqrt{\frac{2(100)(600)}{20} }$

    =77.45 units

TC(Q)= $\sqrt{2ARh}=\sqrt{2(100)(600)(20)}$

         = 1,549.19