A Company Decides to Establish and EOQ for an Item

question 11

Short Answer

A company decides to establish and EOQ for an item. The annual demand is 400,000 units each costing $8 to run, setup costs are $32 , and inventory carrying costs are 20%. Calculate the number of orders per year.

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Definitions:

Oppositional Defiant Disorder

Syndrome of chronic misbehavior in childhood marked by belligerence, irritability, and defiance, although not to the extent found in a diagnosis of conduct disorder.

Conduct Disorder

A mental disorder diagnosed in childhood or adolescence characterized by a persistent pattern of behavior that violates social norms and the rights of others.

Serious Violations of Rules

Behaviors that significantly depart from societal norms or regulations, often resulting in legal or disciplinary consequences.

DSM-5 Criterion

Specific guidelines outlined in the Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, used to diagnose psychiatric disorders.