The company uses a factor of 20 of the purchase cost to, Operation Management

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The company uses a factor of 20 of the purchase cost to

A company uses 900 gallons of general purpose floor cleaner annually. It costs the company $40 to order and receive this product. The general purpose floor cleaner costs $19.22 per gallon. The company uses a factor of 20% of the purchase cost to determine the annual holding cost for this product. What is the Economic Order Quantity (EOQ)?

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