Sunday
April 20, 2014

Homework Help: math

Posted by park on Sunday, March 17, 2013 at 2:30pm.

Annual demand for the notebook binders that Ted's Stationery Shop sells is 10,000 units. Ted operates his business on a 200-work-day year. The unit cost of a binder is $2, and the cost of placing an order with his supplier is $0.40. The cost of carry­ing a binder in stock for one year is 10 percent of its value.

a. What should the EOQ be?

b. How many orders are placed per year?

c. How many working days elapse between reorders?

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