Find the economic order quantity total cost and the reorder, Ask an Expert

Economics

Find the economic order quantity, total cost and the reorder point, given

Annual demand ( D ) = 1,000 units

Average daily demand ( d ) = 1,000/365

Ordering cost ( Cp ) = $5 per order

Holding cost ( Ch ) = $1.25 per unit per year

Lead time ( L ) = 5 days

Cost per unit ( C ) = $12.50

What quantity should be ordered?

View complete question

Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M91234052

Have any Question?Write your Review or question?

Related Questions in Microeconomics

Question 1 conside rthe general effect of the discount rate

Question: 1. Conside rthe general effect of the discount rate on the dynamic efficient allocation of a depletable resource across time. Suppose we have two versions of the two-period model discussed in Chapter 6. The two ...

Question you are an economist who wants to know how risk of

Question: You are an economist who wants to know how risk of on-the-job injury affects peoples' wages. Studying construction workers (who have a substantial risk exposure), you discover that they earn very little more th ...

Question many observers have noted the significant increase

Question: Many observers have noted the significant increase in federal government spending in the United States in recent years. In 2010 and 2014, federal expenditures were $3.1 trillion and $3.7 trillion respectively. ...

Questionnbsp 1 the effort of a program evaluator to assess

Question: 1. The effort of a program evaluator to assess the assumptions and procedures relating to the data that have been collected for analysis is referred to as: i) metaevaluation ii) Objective program evaluation ii ...

Question -most people conclude that the costs outweigh the

Question - Most people conclude that the costs outweigh the benefits of a suicide bombing attack; yet, some people willingly engage in such activity. Are they miscalculating the cost/benefit problem, or do they simply va ...

Question suppose a consumer is consuming a bundle of goods

Question: Suppose a consumer is consuming a bundle of goods X and Y which lies on their budget constraint. If the indifference curve which runs through this bundle is steeper than the budget constraint, explain what the ...

Question for the supply curve shown in figure 3-6 what does

Question: For the supply curve shown in Figure 3-6, what does the corresponding total variable cost curve look like? How about marginal cost? The response must be typed, single spaced, must be in times new roman font (si ...

Question assume that a 1 change in the inflation rate

Question: Assume that a 1% change in the inflation rate causes a 1% increase in nominal interest rates, which in turn causes a 1% drop in real growth the following year. During the latter half of the 1990s, real growth a ...

Question during the improving economic conditions of 2015

Question: During the improving economic conditions of 2015 and early 2016 much additional construction of homes and condos throughout much of the U.S. took place. This provided a significant increase in the income of wor ...

Question answer these three questions about early-stage

Question: Answer these three questions about early-stage corporate finance: a. Why do very small companies tend to raise money from private investors instead of through an IPO? b. Why do small, young companies often pref ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Microeconomics Expert