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The purchase price of a stock item is £25 per unit. In each three month period the usage of the item is 20,000 units.
The annual holding costs associated with one unit equate to 6% of its purchase price. The cost of placing an order
for the item is £20.
What is the Economic Order Quantity (EOQ) for the stock item to the nearest whole unit?
A   1,730
B   1,894
C   1,461
D   1,633

C

a

TOP

C

TOP

c

TOP

d

TOP

C

TOP

c

TOP

3

TOP

C

TOP

answer

TOP

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