Clancy's Motors has the following demand to meet for custom manufactured fuel
injector parts. The holding cost for that item is Rs 0.75 per month and each setup costs
$150. Lead time is 0 months. Calculate the planned order releases using: (a) the EOQ
technique, and (b) the POQ technique.
What are the costs of each plan, including the holding cost of any inventory left over
after month 7?
Month 1 2 3 4 5 6 7
Requirement 100 150 200 150 100 150 250
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