You Sell 7,000 Units of an Item Each Year

question 174

Multiple Choice

You sell 7,000 units of an item each year. The carrying cost per unit is $1.10 and the fixed costs per order are $75. What is the economic order quantity?

• A) 691 units
• B) 713 units
• C) 859 units
• D) 977 units
• E) 1,025 units

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Definitions:

Hypnotic State

A trance-like state of focused attention and increased suggestibility, often used for therapeutic purposes.

Susceptibility

The likelihood or predisposition to be affected by a particular condition or disease based on genetic or environmental factors.

Reactions

Responses by an individual or system to external or internal stimuli, manifesting physically, chemically, or emotionally.

Retina

A layer at the back of the eyeball containing cells sensitive to light, which trigger nerve impulses that pass via the optic nerve to the brain.