A manufacturing company purchases 9000 parts of a machine for its annu – McqOptions

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1.	A manufacturing company purchases 9000 parts of a machine for its annual requirements ordering for month usage at a time, each part costing Rs. 20. The ordering cost per order is Rs. 15 and carrying charges are 15% of the average inventory per year. What should be the optimum order quantity?
A.	200
B.	300
C.	400
D.	500
Answer» C. 400

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