1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Misha Larkins [42]
2 years ago
7

Ali had previously calculated the Economic Order Quantity required to efficiently control costs at his company. His calculations

proved accurate in the short term. However, after a certain point, it was found that his calculations differed from the actual costs. What could have happened at this point to create a mismatch between Ali’s calculations and the actual expense?
A.
demand for the company’s product changed
B.
the company had an excess of intermediate inventory
C.
the storage capacity for output inventory was full
D.
salary increases were put on hold
Business
1 answer:
rjkz [21]2 years ago
6 0

The mismatch between Ali’s calculations using the Economic Order Quantity model and the actual expense was caused by A. demand for the company’s product changed.

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

The Economic Order Quantity model (EOQ) shows the ideal order quantity a company should purchase or produce to <u>minimize</u> inventory costs (holding costs, shortage costs, and ordering costs).

EOQ assumes constant demand, ordering, and holding costs over time.

The model is computed as EOQ = square root of: [2(setup costs)(demand rate)] / holding costs.

Thus, the mismatch between Ali’s calculations using the Economic Order Quantity model and the actual expense was caused by A. demand for the company’s product changed.

Learn more about the Economic Order Quantity model at brainly.com/question/14215453

#SPJ1

You might be interested in
Outsourcing means that :
g100num [7]

Answer:

B

Explanation:

It is the correct answer and outsourcing is were another company hires a company to essentially do their job. But done by a different company.

7 0
3 years ago
During 2014 and 2015, Danny pays property taxes of $3,500 each year on a piece of land. During 2014, the land is vacant and unpr
motikmotik

Answer: the answer is C deduct $3500 each year.

Explanation: Whether the land is vacant and unproductive or it is used to generate income. The property tax for the land will be paid yearly

5 0
3 years ago
​Use the following to answer the questions. ​ Suppose that Ray-Ban is considering a new line of sunglasses that would be sold in
Delvig [45]

Answer: Demand based pricing

Explanation:

Ray-Ban's plan of gathering information about the other brands sold in department stores, which includes their prices, would most likely be used in a demand based basis for pricing

Demand-based pricing, refers to the method of pricing whereby the fluctuations in the demand of consumers is considered.

Due to the flctuations, the prices are adjusted in a way that fits the changes in the values of the product.

4 0
3 years ago
The units of an item available for sale during the year were as follows: Jan. 1 Inventory 40 units at $165 $6,600 Aug. 13 Purcha
Volgvan

Answer:

a. FIFO - Inventory Used: $39900  Remaining Inventory: $14700

b. LIFO - Inventory Used: $41700 Remaining Inventory: $12900

c. Weighted Average Cost - Inventory Used: $40950 Remaining Inventory: $13650

Explanation:

Jan 01. Beginning inventory = 40 x $165 = $6600

Aug 13. Purchases 200 x $180 = $36000

Nov 30. Purchases 60 x $200 = $12000

Ending inventory = 75 units

Inventory Used = 300 – 75 = 225

(a) First-In-First-Out (FIFO)

This is the method where the inventory first received is the one that is used first. Common method when the inventory is perishable and would be wasted if left too long.

Inventory Used:

40 x $165 = $6600

185 x $180 = $33300

Total = $39900

Remaining Inventory:

15 x $180 = $2700

60 x $200 = $12000

Total = $14700

(b) Last-In-First-Out

Method whereby the inventory received latest is used first. Common in goods that are bulky. the inventory on top (latest purchased) is used first.

Inventory Used:

60 x $200 = $12000

165 x $180 = $29700

Total = $41700

Remaining Inventory:

40 x $165 = $6600

35 x $180 = $6300

Total = $12900

(c) Weighted Average Cost

This is whereby you divide the cost of goods sold by the number of units available for sale.

54,600 / 300 = $182

Inventory Used: 225 x $182 = $40950

Remaining inventory = 75 x $182 = $13650

3 0
3 years ago
Consider the following events: a. A fruitworm infestation ruins a large number of apple orchards in the state of Washington. Thi
Vikentia [17]

Answer:

Both statements are true

Explanation:

Due to the worm infestation, there would be a fall in supply of apples, this would lead to a shift of the supply curve  to the left

a fall in price in apples, would lead to a movement down along the supply curve.

Only a change in price of a good leads to a movement along the supply curve for the good, other factors lead to a shift of the supply curve

8 0
3 years ago
Other questions:
  • Perdue found that one of its chicken products may have been contaminated with bacteria, so it pulled it off the shelves and inst
    7·1 answer
  • Who is james monroe?
    5·2 answers
  • A year ago a country reduced the tax rate on all interest income from 20% to 10%. During the year private saving was $500 billio
    12·1 answer
  • The formal target-setting, monitoring, evaluation, and feedback systems that provide managers with information about whether the
    8·1 answer
  • Which of the following is a characteristic of a management control​ system? A. It deals with coordinating planning across the or
    13·1 answer
  • Sheffield Corp. sold some of its plant assets during 2021. The original cost of the plant assets was $904000 and the accumulated
    15·1 answer
  • The _____, or potential exposures, possible in a medium is arrived at by multiplying the medium's total audience size by the num
    12·1 answer
  • Suppose you consider buying a bond promising to pay you $25 one year from now and then the same amount every year through the fi
    10·1 answer
  • A fast-food restaurant buys hamburger buns from a national bakery supplier. The daily usage of buns at the restaurant is normall
    14·1 answer
  • Calculate interest amount forR3000<br> 10%p.a paid out every 6months
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!