You are the fnance manager of Oman Flour Mills. Oman flour mills imports 600 tons off wheet G Australia per month. The mill uses the wheat for production of bread. On 1" April spot price e Australian wheat is 1200 $ per ton. The finance manager is worried that by end of April spot price of Australian wheat will rise to 2000 $ per ton. To protect the company against the sharp rise in input cost of wheat, on 1" April the finance manager purchased 600 wheat futures contracts for end of April expiry (30 April expiry) from Chicago Commodities Exchange at price of 1250 per ton. The finance manager feels that by end of April price of Chicago wheat futures will rise to 2050 per ton. The finance manager is interested in bedsine and not speculation. The problem is that Chicago wheat is not suitable for Oman Flour Mills for production of bread Fven if Oman Flour Mills takes delivery of the wheat from Chicago Commodities Exchange, it will not be able to use it. Why did the finance manager book Chicago wheat futures. Explain with calculations

....... Decision on Accepting Additional Business Miramar Tire and Rubber Company has capacity to produce 196,000 tires. Miramar presently produces and sells 150,000 tires for the North American market at a price of $95.00 per tire. Miramar is evaluating a special order from a South American automobile company, Rio Motors. Rio Motors is offering to buy 23,000 tires for $75.75 per tire. Miramar's accounting system indicates that the total cost per tire is as follows: Direct materials Direct labor Factory overhead (60% variable) $36 13 22 Selling and administrative expenses (30% variable) 19 $90 < Total Miramar pays a sales commission equal to 5% of the selling price on North American orders, which is included in the variable portion of the selling and administrative expenses. However, this special order would not have a sales commission. If the order was accepted, the tires would be shipped overseas for an additional shipping cost of $5.00 per tire. In addition, Rio has made the order…

The Japanese Sofabed company import and sell Futon beds from a manufacturer in Japan, the annual sales made are forecast at 2,500 units, each new order costs £1,300 to place and it costs £75 per unit to hold the Futon beds in stock. What is the economic order quantity for the Japanese Sofabed company (round up to the nearest whole unit)?   (You may refer to the EOQ formula on the last page of the exam paper.)

Brownsville, Texas, boasts being the southernmost international seaport and the largest city in the lower Rio Grande Valley. Ben Supple, an importer in Brownsville, has just received a shipment of Peruvian opals that he is pricing for sale. He paid $140 for the shipment. Assume he wants a 84% markup. a. Calculate the selling price when the markup is based on selling price. Note: Round your answer to the nearest cent. Selling price when the markup is based on selling price b. Calculate the selling price when the markup is based on cost. Note: Round your answer to the nearest cent. Selling price when the markup is based on cost.