High School

Carrying charge is 15%.

What is the Economic Order Quantity (EOQ)? (Round up to the nearest whole number.)

1. 164 pounds
2. 566 pounds
3. 163 pounds
4. 26,667 pounds

Answer :

The information given in the question is insufficient to calculate the EOQ. EOQ stands for Economic Order Quantity, and it is a mathematical formula that calculates the optimal quantity of inventory to order based on certain assumptions and variables, such as demand, ordering costs, holding costs, and lead time. The formula for EOQ is:

EOQ = sqrt((2DS)/(H))

Where D is annual demand, S is ordering cost, and H is holding cost. Without knowing these variables, we cannot calculate the EOQ.

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