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A produce distributor uses 2400 packing crates per year. The manager has assigned an annual carrying cost of $4 per crate. Ordering cost is $20. (a) How much is the order quantity based on EOQ model? (b) How much is the total cost using EOQ model?
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You are in charge of the creation of the capital budget for this new acquisition and have been asked to calculate the following: The project Payback The project's Net Present Value (at a discount rate of 12% The overall cash flow of the project.
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