OPTIMIZING ECONOMIC ORDER QUANTITY

Optimizing Economic Order Quantity



Optimizing Economic Order Quantity

The financial Order amount (EOQ) is the number of units that a company should add to inventory with each order to minimize the total charges of inventory—such as retaining charges, alignment charges, and lack costs. The EOQ is utilised as part of a relentless review inventory scheme, in which the grade of inventory is monitored at all times, and a repaired amount is organised each time the inventory grade comes to a specific reorder point. The EOQ presents a form for assessing the befitting reorder issue and the optimal ...