If the annual carrying cost of Material Z is ₹ 4 per unit and its total carrying cost is ₹ 12,000 p.a., the economic order quantity of material is:

Q. If the annual carrying cost of Material Z is ₹ 4 per unit and its total carrying cost is ₹ 12,000 p.a., the economic order quantity of material is:

A.            3,000 units

B.            4,000 units

C.            5,000 units

D.            6,000 units

Answer: 6,000 units