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Problem:

The Trektronics store begins each week with 240 phasers in stock. This stock is depleted each week and reordered. The carrying cost per phaser is $57 per year and the fixed order cost is $121.

Required:

Question 1: What is the total carrying cost

Question 2: What is the restocking cost?

Question 3: Calculate the economic order quantity

Question 4: Calculate the number of orders per year.

Note: Please provide through step by step calculations.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M91170979

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