Answer Happy

Discount Mart want to determine the EOQ for its halogen lamps. It currently buys all halogen lamps from Specialty Lighting. Annual demand is 2,000 lamps, ordering cost per order is $30, and annual carrying cost per lamp is $12 The is the EOQ? What is the total annual cost of holding and ordering this inventory? How many orders should be placed per year? If a new Lean program is established by ordering electronically, the ordering costs drops to $0.50 but the carrying cost would increase to $30. What is the new EOQ? How many orders should now be placed? What is the new cost of holding this inventory? Comment on the two scenarios