DEF Ltd., a manufacturer of ball-point pens, is interested in knowing the Economic Order Quantity. It furnishes you the following information: Annual Requirement: 40000 units Cost per unit: ₹16 Carrying Cost 15% p.a. Ord

CS Executive · Financial and Strategic Management · PYQS · June 2022
DEF Ltd., a manufacturer of ball-point pens, is interested in knowing the Economic Order Quantity. It furnishes you the following information: Annual Requirement: 40000 units Cost per unit: ₹16 Carrying Cost 15% p.a. Ordering Cost per order: ₹480 What will be its EOQ?
(A) 6000 units
(B) 5000 units
(C) 4000 units
(D) 3000 units

Answer & Explanation:

Correct Answer: Option (C)

Official answer key: (C).

Topics: Financial Management

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic