# LUMANTA_8-9 ULO_A_ASSIGNMENT - Copy.pdf - Lumanta Dianna...

• 6

This preview shows page 1 - 4 out of 6 pages.

Lumanta, Dianna Rose B.ACC213 (2929)Prof. Dave Lamanilao10/8/2020ULO A, Check1. A2. B3. C4. D5. D
ULO A, AnalyzeProblem 11.EOQ =±leal²ti²²t⺁=±ሺ³ͷ´´´ µ¶·¸¹ºሺt»´´ºt±³=¼360,000 units= 600 unitsAnnual Demand= 1,250 units X 4= 5,000 unitsCost per Order= P900Carrying Cost per Unit= P252.Number of Orders in a Year= 12 mos / 3 mos= 4 orders3.Average Inventory Based on EOQ = 600 units / 2= 300 units4.Total Carrying Cost = CCPU x Average Inventory= P25 x 300 units= P7,500Total Ordering Cost = Cost per Order x # of Order= P900 x 4= P3,600Relevant Inventory Cost at EOQ = Ordering Cost + Carrying Cost= P3,600 + P7,500= P11,1005.Total Relevant Cost for 2,000 units-order size = Ordering Cost + CarryingCost= P2,250 + P25,000= P27,250Ordering Cost = Cost per Order x # of orders= P900 x (5,000 units / 2,000 units)= P2,250Carrying Cost = CCPU x Average Inventory= P25 x (2,000 units / 2)= P25,000Total Relevant Cost for 1,000 units-order size = Ordering Cost + Carrying Cost= P4,500 + P12,500= P17,000
Ordering Cost = Cost per Order x # of orders= P900 x (5,000 units / 1,000 units)= P4,500Carrying Cost = CCPU x Average Inventory= P25 x (1,000 units / 2)= P12,500