Problem:
Please use the attached excel worksheet to answer the problem.
William Beville's computer training school, in Richmond, stocks workbooks with the following characteristics:
Demand D = 19, 500 units/year
Ordering cost S = $25/order
Holding cost H = $4/unit/year
a) Calculate the EOQ for the workbooks.
b) What are the annual holding costs for the workbooks?
c) What are the annual ordering costs?