Ready Tees, an online retailer of t-shirts, orders 100,000 t-shirts per year from its manufacturer. The carrying cost is $0.10 per shirt per year

The order cost is $500 per order. What is the optimal order quantity for the t-shirt inventory (rounded to the nearest dollar)?
A) 1,581
B) 8,333
C) 15,841
D) 31,623


Answer: D
Explanation: D) EOQ = = = 31,622.78 ≈ 31,623.

Business

You might also like to view...

Identify the word that the underlined adjective or adjectives modify. The seminar on teamwork was informative

Business

All business communication involves persuasion

Indicate whether the statement is true or false

Business

When materials and finished products are sourced from supplies in a firm's own country, it is referred to as ________.

Fill in the blank(s) with the appropriate word(s).

Business

All property can be classified as either real or personal

Indicate whether the statement is true or false

Business