Calculate the economic order quantity and carrying costs

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Clap Off Manufacturing uses 1,600 switch assemblies per week and then reorders another 1,600. Assume the relevant carrying cost per switch assembly is $5.30 and the fixed order cost is $590.

Calculate the carrying costs. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

Carrying costs            $

Calculate the restocking costs. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

Restocking costs            $

Calculate the economic order quantity. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Economic order quantity            

Calculate the EOQ number of orders per year. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Number of orders per year

Reference no: EM131367049

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