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Lisa [10]
2 years ago
11

1.1 W (5 marks) Calculate the economic order quantity (EOQ) per annum. Economic order quantity Startrek Secondary School purchas

es 700 math's sets per annum. The cost of each math set is R80. Each set is sold for R100. The cost of placing a single order is R45. The holding cost is 11% of the unit purchase price.​
Business
1 answer:
klemol [59]2 years ago
7 0

Based on the math sets purchased by Startrek Secondary School as well as its various costs, the Economic Order Quantity is 84.61 sets.

<h3>What is the Economic Order Quantity?</h3>

This can be found as:

= √(2 x Annual math sets needed x Ordering cost per unit/ Carrying cost

Carrying cost is:

= 80 x 11%

= R8.80

The EOQ is therefore:

=  √(2 x 700 x 48 / 8.8

= 84.61 math sets

Find out more on the Economic Order Quantity at brainly.com/question/26814787.

#SPJ1

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Answer:

14.88%

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Weighted average cost of capital = [($5,940,000 / $7,521,600) * 16.8%] + [($1,025,000 / $7,521,600) * 9.1%] + [($556,600 / $7,521,600) * 7.6% * (1 - 34%)] = 0.1488, or 14.88%

8 0
3 years ago
Suppose a competitive market is comprised of firms that face identical cost curves. The firms experience an increase in demand t
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Answer:

(i)New firms will enter the market.

(iii)In the long run, all firms will be producing at their efficient scale

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A perfect competition is characterised by many buyers and sellers of homogenous goods and services. Market price is set by the forces of demand and supply.

If firms are earning positive profits, in the long run new firms would enter into the industry and this woold drive positive profits to zero. As a result , firms would be operating at the efficient scale.

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7 0
3 years ago
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Exercise 183 Wayne Company reported net income of $265,000 for 2020. Wayne also reported depreciation expense of $45,000 and a l
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Answer:

Net cash flow of the operating activities is $356,000

Explanation:

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          For the year Ended December 31, 2021

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<em />

<em>Adjustment to reconcile net income to net  </em>

<em>cash provided by operating activities</em>

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Loss on sale of equipment               $8,000

Decrease in accounts receivable     $15,000

Decrease in prepaid expenses         $6,000

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Net cash provided by operating activities       <u>$356,000</u>

7 0
3 years ago
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Answer:

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4 0
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Answer:

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