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Business modelling for decision maker
An agent supplies 1000 units per calendar month (PCM) OF A PRODUCT TO CONSUMER. The cost per unit is £175 and the amount cost of storage space is £40. Associated cost with Ordering/Re-ordering is £35 per order and interest rate are constant at 12.5% per year.
1. Calculate the annual holding cost 2. Calculate the EOQ 3. Calculate the re-order level |
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