The BeeGees' sells guitars for P6,999 each. The store consistently sells 450 guitars every year. The fixed cost to order more guitars is P680 and the carrying cost is P120. What is the economic order quantity?

Purchasing and Supply Chain Management
6th Edition
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Chapter16: Lean Supply Chain Management
Section: Chapter Questions
Problem 10DQ: The chapter presented various approaches for the control of inventory investment. Discuss three...
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The BeeGees' sells guitars for P6,999 each. The store consistently sells 450 guitars every year. The fixed cost to order more guitars is P680 and the carrying cost is P120. What is the economic order quantity?
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