Answer Posted / e. guru prasad

EOQ=Sqrt2AB/C, where

A= Annual demand for the product
B= Ordering cost per order
C= Carrying cost per unit per annum
Factories may required many goods inorder to maintain the
continuous production. They may ordering goods as and when
they require. Through the technic of EOQ, they can able
order the goods at a minimum cost to the factory.

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