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Answer :
Final answer:
The optimal order quantity using the fixed-order quantity model is approximately 2218 units.
Explanation:
The optimal order quantity using the fixed-order quantity model can be calculated using the Economic Order Quantity (EOQ) formula.
EOQ = sqrt((2 * annual demand * ordering cost) / holding cost)
Substituting the given values:
EOQ = sqrt((2 * 25913 * 19) / 4) = sqrt(4928978.5) = 2218.28
Therefore, the optimal order quantity is approximately 2218 units.
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