Matthew Liotine's Dream Store sells water beds and assorted supplies. His best-selling bed has an annual demand of 395 units. Ordering cost is $38; holding cost is $5 per unit per year. a) To minimize the total cost, how many units should be ordered each time an order is placed? EOQ = nothing units (round your response to the nearest whole number).

77.48 units

Explanation:

Data provided in the questions

Annual demand = 395 units

Ordering cost = $38

Holding cost per unit per year = $5

The computation of the economic order quantity is shown below:

= 77.48 units

hence, the economic order quantity is 77.48 units

We simply applied the above formula so that approximate units could come. And it always expressed in units

answer; i do believe that the correct answer is ; ///are valued more highly than their cost;

the correct answer is economics is a game without winners or losers.

unlike sports or games economic is a game without losers or winner rather it is a game where everyone wins. parties of business doing businesses exchange money with each other and hence exchange is done on the basis of goods. one party takes the goods and other sales it so there is winner on both sides. each party values more highly the good it gets than the good it gives up. both sides exchange only because both intend to increase their value. so there is no concept of lose or win.