The vendor has imposed price increase on the product of 5


R = annual demand = $35,500

A = Order Cost = $90

V = product cost = $100

W = inventory c/cost = 14%

EOQ= 676

All questions based on these ^

1. The annual demand has increased by 100% (doubled) what is the new EOQ?

2. The vendor has imposed price increase on the product of 5% what is the new EOQ?

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Operation Management: The vendor has imposed price increase on the product of 5
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