         EOQ INVENTORY MODEL                                                    
                                                                                
IN INVENTORY THEORY A REORDER COST IS A FIXED COST ASSESSED                     
EACH TIME AN ORDER FOR AN ITEM IS PLACED, NO MATTER WHAT                        
THE ORDER QUANTITY IS.                                                          
A HOLDING COST IS A COST DUE TO HOLDING INVENTORY,E.G.INTEREST.                 
A STOCKOUT COST IS DUE TO RUNNING OUT OF AN ITEM.                               
IN THIS PROGRAM WE ASSUME THAT THERE WILL BE NO STOCKOUTS.                      
IN ADDITION THE ITEMS ARE USED UNIFORMLY THROUGHOUT THE YEAR                    
WE CAN TAKE DELIVERY OF A REORDER WHENEVER WE WANT.                             
DEMAND IS IN NUMBER OF ITEMS USED PER YEAR.                                     
REORDER COST IS IN DOLLARS PER REORDER.                                         
HOLDING COST IS IN DOLLARS PER ITEM PER YEAR.                                   
                                                                                
TO BEGIN PRESS ENTER?                                                           
DEMAND             ? 3456                                                       
REORDER COST       ? 56.78                                                      
HOLDING COST       ? 12.34                                                      
                                                                                
TO MINIMIZE TOTAL COSTS OF INVENTORY :                                          
         REORDER  178  ITEMS AT A TIME                                          
                                                                                
THIS MEANS ORDER APPROXIMATELY 19  TIMES PER YEAR                               
OR ABOUT EVERY  19  DAYS.                                                       
