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My Worst Manufacturing Co. expected demand is 800 units per month. The prices are for order of 1-399 is 17.10; 400-799 is 16.60; and, 800+ is 16.10. Ordering cost is $50, and annual holding cost per unit is $6. a) What is the EOQ? b) What is the optimal order quantity and total annual cost of ordering, purchasing, and holding of the component?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92556633

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