Ray's Satellite Emporium wishes to determine the best order size for its best-selling satellite dish (model TS111). Ray has estimated the annual demand for this model at 850 units. His cost to carry one unit is $65 per year per unit, and he has estimated that each order costs $14 to place. Using the EOQ model, how many should Ray order each time

19 units per order

Explanation:

the formula to calculate economic order quantity (EOQ) is:

EOQ = √(2SD/H)

EOQ = √[(2 x 850 x 14) / 65] = 19.14 units

in this case to obtain the lowest possible cost you must round down your answer to 18 units per order.

The EOQ can help you determine the minimum amount of units that you should order of a product in order to reduce inventory costs.

staple goods and impulse goods are examples of convenience products which consumers usually  buy. these products can be bought almost everywhere and are readily available for purchase. usually, the quality and price of the product are not considered. examples of staple goods are sugar and bread, while impulse goods examples are chocolates and magazine.