Beta Fruit Juice Company operates from south Batinah and they get fruits through a logistic group who supply them the necessary raw materials. The cost of placing the order is RO 1500 and average cost per kilogram is 900 baiza. The other major expenses for the stores are as below: = RO 600 = RO 2000 Water and Electricity charges every month Salary for workers every month Cost of disposal against expiry every month Insurance Cost for the store and the inventory per annum %3D = RO 200 = RO 4500 %3D The yearly demand of the product is 150000 kg. Calculate the economic order quantity and the number of orders per year?

Beta Fruit Juice Company operates from south Batinah and they get fruits through a logistic group who supply them the necessary raw materials. The cost of placing the order is RO 1500 and average cost per kilogram is 900 baiza. The other major expenses for the stores are as below: = RO 600 = RO 2000 Water and Electricity charges every month Salary for workers every month Cost of disposal against expiry every month Insurance Cost for the store and the inventory per annum %3D = RO 200 = RO 4500 %3D The yearly demand of the product is 150000 kg. Calculate the economic order quantity and the number of orders per year?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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