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  3. Study Set
    Management Science Quantitative Approach
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    Exam 10: Inventory Models
  5. Question
    Show the Total Cost Expression and Calculate the EOQ for an Item
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Show the Total Cost Expression and Calculate the EOQ for an Item

Question 24

Question 24

Short Answer

Show the total cost expression and calculate the EOQ for an item with holding cost rate 18%,unit cost $8.00,annual demand of 40,000,and ordering cost of $48.

Correct Answer:

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TC = 1/2Q(...

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