Financial Managemente.., Financial Management

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Madhuban group manufactures a product. The following particulars are as follows: 5
Monthly demand 1000 units
Cost of placing an order Rs. 100
Annual carrying cost per unit Rs. 15
Normal usages 50 units per week
Minimum usages 25 units per week
Maximum usages 75 units per week
Re-order period 4 to 6 weeks
Compute:
(1) Economic order quantity
(2) Re-order level
(3) Minimum stock level
(4) Maximum stock level
Average stock level

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