EOQ is 200 units, ordering cost ₹20 per order and total purchases 4,000 units. The carrying cost per unit will be —

CS Executive · Cost and Management Accounting · PYQS · June 2016
EOQ is 200 units, ordering cost ₹20 per order and total purchases 4,000 units. The carrying cost per unit will be —
(A) ₹2
(B) ₹6
(C) ₹4
(D) None of the above.

Answer & Explanation:

Correct Answer: Option (C)

Official answer key: (C).

Topics: Inventory Management

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