How many units order each time places an order


Ray's Satellite Emporium wishes to determine the best order size of their best selling satellite dish (model TS111). Ray has estimated the annual demand for this model at 1,000 units. His cost to carry one unit is $100 per year per unit, and he has estimated that each order costs $25 to place. Based on the EOQ model, how many units should Ray order each time he places an order?

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Operation Management: How many units order each time places an order
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