Olga Company Has an Economic Order Quantity for Item B

question 66

Multiple Choice

Olga Company has an economic order quantity for item B of 100 units. The annual demand for the product is 1,400 units, and the unit carrying cost per year is $7. What is the cost of placing an order?

• A)$25
• B)$8
• C)$200
• D)$2

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Definitions:

Standard Deviation

A measure of the dispersion or variability within a set of numerical data, indicating how spread out the values are from the mean.

Independent Variables

Variables in an experiment or model that are manipulated or classified to determine their effect on dependent variables.

Standard Deviation

A way to quantify how much spread or differentiation exists in a dataset.

Shopping Outlet

A retail store or distribution channel through which products are sold to consumers.