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Norwich Company Has Determined the Following Costs Are Associated with One

Question 23

Multiple Choice

Norwich Company has determined the following costs are associated with one of its products. E=EE = E conomic order quantity (EOQ)
Q=\mathrm { Q } = Annual quantity used in units \quad \quad \quad \quad \quad 4800
P=P = Cost of placing one order (f) \quad \quad \quad \quad \quad \quad 3
C=A\mathrm { C } = \mathrm { A } nnual cost of carrying one unit in stock (E) \quad 8

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If the annual cost of carrying one unit in stock is increased to £10 and the cost of placing one order is reduced to £2 the economic order quantity (EOQ) is


A) 47 units.
B) 46 units.
C) 44 units.
D) 89 units.

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