A company manufactures a product from a raw material which is purchased at 60$ per one kg with total cost (EOQ) is 30000$ and Total cost Quarterly is…

A company manufactures a product from a raw material which is purchased at 60$ per one kg with total cost (EOQ) is 30000$ and Total cost Quarterly is 78000$ the monthly production of the product is 8333 1/3 units and 2.5 units are obtained from one kg of raw material .he placing order cost (EOQ) is 15000$ annum

1- calculate the EOQ of raw materials

2- advise how Frequently for procurement be placed

Leave a Reply