20. Sheryl Corporation had been buying 1,200 units of Product A which represents a four month's supply. The cost per unit is P100; the order cost is P200 per order; and the annual inventory carrying cost for one unit is P25. Assume that the units will be required evenly throughout the year. What is the economic order quantity? a. 144 b. 240 c. 600 d. 1,200

20. Sheryl Corporation had been buying 1,200 units of Product A which represents a four month's supply. The cost per unit is P100; the order cost is P200 per order; and the annual inventory carrying cost for one unit is P25. Assume that the units will be required evenly throughout the year. What is the economic order quantity? a. 144 b. 240 c. 600 d. 1,200

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter10: Inventory

Section: Chapter Questions

Problem 1PA: When prices are rising (inflation), which costing method would produce the highest value for gross...

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