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Fischer's Furniture Sells 2400 Sofas a Year at an Average

question 11

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Fischer's Furniture sells 2400 sofas a year at an average price per sofa of $1250.The carrying cost per unit is $11.60.The company orders 80 sofas at a time and has a fixed order cost of $52 per order.The sofas are sold out before they are restocked.What is the economic order quantity?


Definitions:

Acute Central Vision

The ability to see objects clearly and sharply in the central part of the visual field, essential for tasks requiring fine detail.

Auricle

The external portion of the ear, which captures sound waves and directs them into the ear canal.

External Auditory Canal

Short canal that opens to the exterior environment and terminates at the eardrum; part of the external ear.

Eardrum

Cellular membrane that separates the external from the middle ear; vibrates in response to sound waves; also called tympanic membrane.

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