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A Firm Expects to Sell 1,000 Units of Its Best-Selling

Question 88

Multiple Choice

A firm expects to sell 1,000 units of its best-selling product in the coming year.Ordering costs for this product are $100 per order, and carrying costs are $2 per unit.Compute the optimum order size, using the EOQ model.


A) 10 units
B) 224 units
C) 317 units
D) 448 units

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