An inventory problem how many units should they order at a, Financial Management

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An inventory problem how many units should they order at a

An Inventory Problem

EZ Seat sells 6000 chairs per year - no seasonal patterns

Each chair costs them $600

Every time EZ Seat places an order they incur a fixed charge of $400

It costs EZ Seat 20% of the inventory value per year to carry the inventory.

How many units should they order at a time?

o= 400

s = 6000

2= 2

c = 120.00

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Financial Management: An inventory problem how many units should they order at a

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