HI SIR IN THE QUESTION , IF WE ADD FREIGHT COST OF 9.8LAKHS IT IS UNDERSTOOD BCOZ THE TOTAL COST WILL BE THIS IRRESPCTIVE OF NO OF ROUNDS. BUT WHEN WE TAKES 28000 AS ORDERING COST, WE ARE CONSIDERING ONE COST 2 TIMES I.E. WHATEVER BE THE NUMBER OF ORDER ON EOQ, DELIEVERY COST IS MINIMIZED BUT IS INCURRED TWICE. MOREVER THE CAPACITY OF TRUCK IS 10,000KG AND THE EOQ IS AROUND 13,000KG SO IT IS NOT POSSIBLE TO ORDER 13000KG AT A TIME. PLZ CAN U CLARIFY THAT WHEN FREIGHT PER ORDER IS GIVEN, HOW TO COMPUTE MATERIAL COST AND EOQ
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