Eoq the trektronics store begins each month with 765


Question: EOQ. The Trektronics store begins each month with 765 phasers in stock. This stock is depleted each month and reordered. If the carrying cost per phaser is $27 per year and the fixed order cost is $385, what is the total carrying cost? What is the restocking cost? Should the company increase or decrease its order size? Describe an optimal inventory policy for the company in terms of order size and order frequency.

Solution Preview :

Prepared by a verified Expert
Finance Basics: Eoq the trektronics store begins each month with 765
Reference No:- TGS02528758

Now Priced at $10 (50% Discount)

Recommended (96%)

Rated (4.8/5)