The following information relates to Unique Ltd for the year 2020: Annual Demand 408,375 units Annual cost of Holding £1.50 Annual cost of placing an order £ 500 Required: (i) Calculate the EOQ (ii) Calculate the average inventory (iii) Calculate the total annual ordering cost (iv) Calculate the total annual inventory cost (excluding the purchase

The following information relates to Unique Ltd for the year 2020: Annual Demand 408,375 units Annual cost of Holding £1.50 Annual cost of placing an order £ 500 Required: (i) Calculate the EOQ (ii) Calculate the average inventory (iii) Calculate the total annual ordering cost (iv) Calculate the total annual inventory cost (excluding the purchase

Quickbooks Online Accounting

3rd Edition

ISBN:9780357391693

Author:Owen

Publisher:Owen

Chapter4: Operating Activities: Sales And Cash Receipts

Section: Chapter Questions

Problem 1.3C

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The following information relates to Unique Ltd for the year 2020: Annual Demand 408,375 unitsAnnual cost of Holding £1.50Annual cost of placing an order £ 500 1. Calculate the EOQ 2. Calculate the average inventory 3. Calculate the total annual ordering cost 4. Calculate the total annual inventory cost (excluding the purchase cost)
The following information relates to Unique Ltd for the year 2020: Annual Demand 408,375 units Annual cost of Holding £1.50Annual cost of placing an order £500 Required: (i) Calculate the EOQ (ii) Calculate the average inventory (iii) Calculate the total annual ordering cos (iv) Calculate the total annual inventory cost (excluding the purchase cost)
A company wishes to establish an EOQ for an item for which the annual demandis $800,000, the ordering cost is $32, and the cost of carrying inventory is 20%.Calculate the following:a. The EOQ in dollars.b. Number of orders per year.c. Cost of ordering, cost of carrying inventory, and total cost.d. How do the costs of carrying inventory compare with the costs of ordering?
The following information relates to Unique Ltd for the year 2020: Annual Demand 408,375 units Annual cost of Holding £1.50 Annual cost of placing an order £ 500 Required: Calculate the total annual inventory cost (excluding the purchase cost)
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