Solved

Newcastle Company Has Determined the Following Costs Are Associated with One

Question 9

Multiple Choice

Newcastle 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 3000
P=P = Cost of placing one order ( (£) ( £ ) \quad \quad \quad \quad \quad 10
C=AC = A nnual cost of carrying one unit in stock (£) \quad 0.8
-
If the cost of placing an order is reduced to £6 the economic order quantity (EOQ) is


A) 100 units.
B) 274 units.
C) 212 units.
D) 250 units.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions