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A manufacturer uses 37,500 units of a particulars material per year. The material cost is...

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Accounting

A manufacturer uses 37,500 units of a particulars material per year. The material cost is OMR 0.75 per unit and the carrying cost is estimated to be 12% p.a. of average inventory cost. The cost of placing order is OMR 9. Calculate EOQ and frequency of order per annum.

a.

2739 units, 14 times.

b.

2642 units, 18 times.

c.

2835 units, 12 times.

d.

2483 units, 24 times.

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