Economic Order and Quantity
As the size and frequency of order varies cost of supply vary directly. Small changes in material cost can result in large sums of money saved or lost.
The inventory holding cost and ordering cost are opposed to each other. If the purchases are made frequently in large quantities, inventory holding costs are large but ordering costs are small. Hence it is necessary to balance these two opposing costs.
Latest posts by BMS Team (see all)
- Meterdown Annual Festival is back with its 7th edition – Starts today! - January 16, 2020
- Tybms sem 6 results 2019 declared on 19th June 2019 - June 19, 2019
- TYBMS Sem 6 Results 2019 Update from BMS khabri! - June 15, 2019