Business, 12.03.2020 22:54 Svetakotok

Item X is a standard item stocked in a company's inventory of component parts. Each year the firm uses about 2,000 of item X. Holding costs, which include insurance and cost of capital, amount to $5 per unit of average inventory. Every time an order is placed for more of item X, the cost is $10.

a. What is the EOQ? (round to nearest whole number)
b. How many times per year would the store reorder if EOQ units are ordered each time? (round to nearest whole number)
c. What is the length of an order cycle if EOQ units are ordered each time? (calculate in terms of year (to 3 decimal places)and then express in terms of workdays by multiplying by 365 (round to nearest workday))
d. What is the total annual inventory control cost if EOQ units are ordered each time? (round to the nearest dollar)
e. If ordering costs were to increase by 25% per order, by what percentage would the EOQ change? (round to the nearest percent)

Answers: 1

Show answers

Another question on Business

Business, 22.06.2019 14:10

Location test: question 1 of 54)water is a solvent because itoa. is made of moleculesob. dissolves many substancesc. is a saltd. has a large buffering capacity

Answers: 1

Answer

Business, 22.06.2019 22:20

Which of the following events could increase the demand for labor? a. an increase in the marginal productivity of workers b. a decrease in the amount of capital available for workers to use c. a decrease in the wage paid to workers d. a decrease in output price

Answers: 1

Answer

Business, 23.06.2019 00:30

Greentel, a telecom giant, has been using the service of orpheus inc. for training its employees. according to a deal signed by the two companies, orpheus inc. is not only responsible for training greentel's employees but also for providing comprehensive administrative services to the telecom giant. in this instance, greentel engages in

Answers: 1

Answer

Business, 23.06.2019 01:30

Brian has just finished college. he wants to set up a small business to make and sell fireworks. he registers his company and acquires a license from the government. he finds that most of his competitors are selling fireworks at an extremely low price. he would like to make more money, so he decides to innovate and develop better fireworks. he sells his fireworks at a higher price, and they are a huge hit with the customers. after a few years, he earns enough profit to set up a bigger fireworks factory that complies with the government’s health and safety regulations. he even starts exporting fireworks overseas. which type of economy does this scenario describe?

Answers: 3

Answer

You know the right answer?

Item X is a standard item stocked in a company's inventory of component parts. Each year the firm us...

Questions