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The Dingle Company Uses 12,000 Units of Dingits Each Year,and

Question 3

Multiple Choice

The Dingle company uses 12,000 units of dingits each year,and pays 75p each for them.The administration costs associated with each order is £175 and the shareholder costs are estimated at 20% per annum.Calculate the economic order quantity (EOQ) .


A) 3672
B) 2050
C) 5292
D) 1184

Correct Answer:

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