Ordering Costs
Costs that occur when an order is placed regardless of the size of the order.
Ordinary income
The income derived from the regular operating activities of a firm or individual.
Ordering costs - Are all costs associated with preparing a purchase order. These include the cost of preparing a purchase invoice, telephone, salaries of purchasing clerks, and stationery.
Inventory ordering costs are those costs associated with the acquisition of inventory, such as clerical costs and transportation costs.
Inventory profit ...
size that minimizes the sum of carrying and ordering costs. At the EOQ amount, total ordering cost equals total carrying cost.
See also Economic Order Quantity (EOQ)
Dictionary of Finance and Investment Terms ...
A form detailing an order instruction that a customer gives an account executive.
Ordering Costs
Costs that occur when an order is placed regardless of the size of the order.
Ordinary income ...
amount for best inventory control the most economic inventory replenishment order size, which minimizes the sum of inventory ordering costs and holding costs.
Related definitions of "economic order quantity"
Abbr EOQ ...
A subsequent chapter shows how to calculate economic order quantities that take into account carrying and ordering costs in balancing these important considerations.
Economic Order Quantity (EOQ): that purchasing order size which takes into account the optimum combination of stockholding costs and ordering costs.
 See also: Fixed costs, Fixed cost, Expense, Outsourcing, Optimum
  
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