What is the value of an ordering cost


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Q: Henry Crouch's law office has traditionally ordered ink refills 70 units at a time The firm estimates that carrying cost is 45 percentage of the dollar 11 unit cost and that annual demand is about 245 units per year The assumptions of the basic EOQ model arc thought to apply. For what value of ordering cost would its action be optimal? For what value of ordering cost would its action be optimal? Its action would be optimal given an ordering cost of S per order.

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Operation Management: What is the value of an ordering cost
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