If D = 8,400 per month, S = $43 per order, and H = $1.50 per unit per month, a) What is the economic order quantity? The EOQ is 694 units (round your response to the nearest whole number). b) How does your answer change if the holding cost doubles? The EOQ is whole number). units (round your response to the nearest
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- Suppose a company finds that shipping cost is 3,560 each month plus 6.70 per package shipped. What is the cost formula for monthly shipping cost? Identify the independent variable, the dependent variable, the fixed cost per month, and the variable rate.In the Economic Order Quantity (EOQ) Theory, if CO £20, D 24,000, EOQ 400, calculate the annual holding cost. A £6 B £12 C £18 D £36Determine which shipping alternative,one day or three days, is best when the holding cost, of and item is $1,000 per year, the one-day shipping cost is $40, and the three-day shipping cost is :a. $35,b. $30
- What is the EOQ for a firm that sells 5,800 units when the cost of placing an order is $5.20 and the carrying costs are $4.00 per unit? Round your answer to the nearest whole number. units How long will the EOQ last? Use the rounded value from the previous question. Assume 365 days in a year. Round your answer to the nearest whole number. days How many orders are placed annually? Assume 365 days in a year. Use the rounded value from the previous question. Round your answer to the nearest whole number. orders per year As a result of lower interest rates, the financial manager determines the carrying costs are now $2.2 per unit. What is the new EOQ? Round your answer to the nearest whole number. units What is the annual number of orders? Assume 365 days in a year. Use the rounded values of the new EOQ and duration of the new EOQ in your calculations. Round your answer to the nearest whole number. orders per yearSuppose that Lou sells 9,000 wheels each month to outside customers. If the transfer pricing formula is used to find the transfer price, what is the appropriate price per wheel? A. P29.50 B. P31.75 C. P39.25 D. P42.00A company has return on sales of 20%, income of $50,000, selling price of $10, and a contribution margin of 40% . A. What are fixed costs? Why? How? B. What are variable costs per units? Why? How? C. What are sales in units? D. What are sales in dollars? Why? How?
- Given: Peter Piper has projected sales of 72,000 pipes this year, ordering cost of P6 per order, and carrying costs of P2.40 per pipe. With the given data, can you give me the solution on how to get: -What is the economic ordering quantity? -Total inventory cost at EOQ -How many orders will be placed during the year?-What will the average inventory be? Thank you in advance.The price of a product is expressed as ?, PHP = 10 – 28? where ? is the demand. Which of the following correctlyexpresses the total revenue? 10 − 28?2 28? = 10 10? − 28? 10? − 28?2Compute economic order quantity if annual demand is 5000 units , ordering cost is Rs.30 per order and holding cost is Rs. 6 per unit per annum.
- Items purchased from a vendor cost $20 each, and the forecast for next year’s demand is 1,000 units. If it costs $5 every time an order is placed for more units and the storage cost is $4 per unit per year, a. What quantity should be ordered each time? b. What is the total ordering cost for a year? c. What is the total storage cost for a year?If, Total Fixed cost OMR 40000, Selling price per unit OMR 20, and Variable cost per unit OMR 12. What will be the amount of profit if actual sales are OMR 120000?How do you compute the monthly margn of safety in dollars if the shop has a monthly target profit of $54000, variable costs are 20% and monthly fixted cost of $18000 and what is the margin of safety percentage of target sales?