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Massa Machine Tools expects total sales of $10,000. The price per unit is $6. The firm estimates an ordering cost of $9.96 pe

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Answer #1

Ans 199 units

EOQ = SQUARE ROOT OF (2*DEMAND * ORDER COST / HOLDING COST)
SQRT (2 * 1666.67 * 9.96/0.84)
SQRT(39523.89)
199 UNITS
NO OF UNITS == TOTAL SALE / SALES PRICE PER UNIT
10000 / 6
1666.67
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