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    EOQ for Workbooks and Annual Holding Costs

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    William Beville's computer training school, in Richmond stocks workbooks with the following characteristics:
    Demand D=19500 units/year
    Ordering cost S=$25/order
    Holding cost H=$4/unit/year
    a- Calculate the EOQ for the workbooks.
    b- What are the annual holding costs for the workbooks?
    c- What are the annual ordering costs?

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    Solution Summary

    The expert calculates EOQ for workbooks and annual holding costs.