EOQ, Managerial Accounting

Assignment Help:
a annual sales are 585000 unit.
the purchase price per unit is $2.
the carrying cost is 26% of purchase price of goods
safty stock is 100000 units on hand
two weeks are required for delivery.

Question 1.what is EOQ? what is the total cost of ordering and carrying inventories at the EOQ?

Question 2
what is the optimal number of orders to be place?

Question 3
at what inventory level should order? how would the answer change if delivery time was six weeks?

Question 4
if annual unit sale double, what is the percent increase in EOQ? what is the elasticity of EOQ with repect of sale?

Question 5
if the cost per order doubles,what is the elasticity of EOQ with respect cost per order?

Question 6
if the carrying cost declines by 50 percent, what is the elasticity of EOQ with respect to the change?

Question 6
if the purchase price declines by 50 percent, what is the elasticity of EOQ with respect to the change

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