XYZ Inc. needs 325 kgs of a material per month. It costs OMR 100 to make and receive an order, and it takes 16 workdays to receive it. The annual holding cost is 25 % of purchase price. The price OMR 2 per kg. The company is operating 6 days per week. What is the minimum annual total cost in OMR? Round-up to the nearest integer

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter10: Short-term Decision Making
Section: Chapter Questions
Problem 4EB: Dimitri Designs has capacity to produce 30,000 desk chairs per year and is currently selling all...
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XYZ Inc. needs 325 kgs of a material per month. It costs OMR 100 to make and receive an order, and it takes 16 workdays to receive it. The annual holding cost is 25 % of purchase price. The price OMR 2 per kg. The company is operating 6 days per week. What is the minimum annual total cost in OMR? Round-up to the nearest integer
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