Acc 5-1 question 2 part 1

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School
Southern New Hampshire University **We aren't endorsed by this school
Course
ACC 550
Subject
Business
Date
Nov 5, 2023
Pages
1
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Select Jerseys (SJ) operates a megastore featuring sports merchandise. It uses an EOQ decision model to make inventory decisions. It is now considering inventory decisions for its Los Angeles Galaxy soccer jerseys product line. This is a highly popular item. Data for 2020 are as follows: B (Click the icon to view the data.) Read the requirements. Requirement 1. Calculate the EOQ. Begin by selecting the formula used to calculate EOQ. (D = Demand in units for one year, P = Ordering cost per purchase order, C = Carrying cost of one unit in stock, Q = Any order quantity.) _ [20P E0Q= |2 (Round your answer to the nearest whole number.) The EOQis 560 jerseys. Requirement 2. Calculate the number of orders that will be placed each year. Determine the formula used to calculate the number of orders that will be placed each year, then calculate the orders per year. (Round your answer up to the nearest whole number.) Annual demand = EOQ 14,000 = 560 Number of orders 25 orders per year Requirement 3. Calculate the reorder point. Determine the formula, then calculate the reorder point. (Enter any calculated number in the formula to two decimals, X XX. Round your answer to the nearest whole number)) Demand per day x Purchasing lead time (days) = Reorder point 38.36 x 7.00 269 jerseys Jes Get more help « (Similar question)
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