Question

The order quantity of a raw material is 3,000 kg. Safety stock of 2,200 kg is held. The stockholding cost of the raw material is GHS1·40 per kg per annum. What is the total annual stockholding cost of the raw material?

A. GHS2,640

B. GHS4,200

C. GHS5,180

D. GHS5,740The order quantity of a raw material is 3,000 kg. Safety stock of 2,200 kg is held. The stockholding cost of the raw material is GHS1·40 per kg per annum. What is the total annual stockholding cost of the raw material?

A. GHS2,640

B. GHS4,200

C. GHS5,180

D. GHS5,740

Answer 1

The answer is A I would explain but you probably just need the answer