LS2595: The annual requirement of raw materials is 2000 units costing Rs.1 each. The ordering cost is Rs. 10 and carrying cost is 16% per year of the average inventory value. Find E.O.Q. and the total inventory cost per year.

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Question: The annual requirement of raw materials is 2000 units costing Rs.1 each. The ordering cost is Rs. 10 and carrying cost is 16% per year of the average inventory value. Find E.O.Q. and the total inventory cost per year.

 


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