Question

UL
47. The best breads company buys and then sells (as bread)2.6 million kgs. of wheat
annually. The wheat must be purchased in multiples of 2,000 kgs. Ordering cost, which
include grain elevator removal charges of 3,500 are 5,000 per order. Annual carrying
costs are 2% of the purchase price per kg of 35. The company maintains a safety stock of
*2,00,000kgs. The delivery time is six weeks.
b.)
c.)
d.)
What is the E.O.Q?
At what inventory level should reorder be placed to prevent the drawal on the
safety stock?
What was the total inventory cost?
The wheat processor agrees to pay the elevator removal charges if best breads
will purchase wheat in quantities of 6, 50,000 kgs. Would it be to the best breads
advantage to order under this alternative?
(Ans: (a) 5,10,000 kg (b) 5,00,000 kg (c) 21,30,70,990 (d) accept the proposal, net
savings 12,490)​

Answer 1

Answer:

ok.nahi pta yrr srry.ok

Answer 2

Can u help to for solution of working capital management chapter question answer

Explanation: