Dear Bunko,
The above question was asked in 2007
http://www.cssforum.com.pk/css-past-...er-2007-a.html


It has also appeared 2 times before this in past papers. I am not able 2 solve this EOQ qestion baqi to sub hojata hai leken is main prob hai. Please bro solve it 4 me

Q.2…. ABC Company deals in computer chips and buys these chips from several manufacturers. Chips are ordered in lot sizes of 1000 and each order costs Rs. 40.00 to place. Monthly demand is expected to be 20,000 chips. ABC works out Rs. 0.10 as carrying cost for each chip.
(a) What is optimal order quantity with respect to so many lot sizes (that is, what multiple of 1000 units should be ordered)?
(b) What would be the optimal order quantity if the carrying costs were cut in half to Rs. 0.05 a chip per month?
(c) What would be the optimal order quantity if the carrying costs were reduced to Rs. 10.00 per month?