1. A producert purchases an item at the rate of Rs 10/- per piece from a manufacturer. The annual requirement is 2000 un

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1 A Producert Purchases An Item At The Rate Of Rs 10 Per Piece From A Manufacturer The Annual Requirement Is 2000 Un 1 (129.57 KiB) Viewed 37 times

1. A producert purchases an item at the rate of Rs 10/- per piece from a manufacturer. The annual requirement is 2000 units of the item, while the cost per order is Rs 15/- and the holding cost is Rs 8/- per annum. There is a requirement of 5 square feet to store the item. : ماه a e) If maximum storage capacity is 300 square feet, calculate the EOQ level. (2 marks) f) If a discount of 2% is offered for orders greater than 50 units but less than 100 units and 3% discount is offered for orders equal or greater than 100 units, calculate the inventory costs for the following scenarios: i) Order size <=50 ii) 50 < Order size < 100 iii) 100 <= Order size (9 marks) g) Calculate the EOQ if the total budget available to purchase the material is Rs. 1,000/-.