Determine the economic order quantity

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Reference no: EM1330844

The Wallace stationary company purchases paper from the Seaboard Paper Company. Wallace produces stationary that require 1,415,000 sq. yards of stationary per year. The cost per order for the company is $2,200; the cost of holding 1 yard of paper in inventory is $.08 per year.

Determine the following:

A. Economic order quantity

B. Minimum total annual cost

C. Optimal numbers of orders per year

D. Optimal time between orders

Reference no: EM1330844

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