Hello
If EOQ is 3794
2% discount is 4200
2.5% discount is 5300
Extra cost of ordering for 2% is 4200-3794
And for 2.5% is 5300-4200
My doubt is shouldn't we compare it with EOQ.i.e 5300-3794, can you please clarify my doubt?
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EOQ
7y ago#1You have not explained what your original figures represent.
If the EOQ is 3794, then this is the number of units ordered each time. It is not a cost!!
I suggest that you watch my free lectures on this.
The lectures are a complete free course for Paper FM and cover everything needed to be able to pass the exam well.
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