when is the ordering cost decreasedordering cost


When is the ordering cost decreased?

Ordering cost falls while the size of order increases. It is because when the size of order raises for the similar quantity of inventory purchased annually, in that case less orders and thus administration cost would be needed for example, staff, phone calls and paperwork etc.

Request for Solution File

Ask an Expert for Answer!!
Operation Management: when is the ordering cost decreasedordering cost
Reference No:- TGS0332575

Expected delivery within 24 Hours