Solution :
Given data:
Annual demand, D = 180,000 chairs
Ordering cost, F = $ 150 per order
Annual holding cost per unit, C = $25
Lead time of order, L = 5 days
Standard deviation of order during lead time = 30
a). The optimal order quantity
= 1469.69
= 1470 (rounding off)
b). The Z value of the customer service of 90%,
i.e., the probability of 0.90 as per normal distribution table = 1.29
∴ Safety stock = Z value x standard deviation of order during lead time
= 1.29 x 30
= 38.7
= 39 (rounding off)
c). The reorder point
= 3039
d). The optimal annual total inventory cost
= 18367.34 + 18375
= $ 36,742.34
Answer:The stakeholders are on the lookout to ensure the firm performs maximally and would want the best decision in place. This is how they influence corporate governance
Explanation:
Stakeholders theory is the theory of organizational management and business ethics that accounts for multiple constituencies impacted by business entities such as employees, local market, creditors, supplies and others. The stakeholders are on the lookout to ensure the firm performs maximally and would want the best decision in place. This is how they influence corporate governance
In a situation when managers must analyze data from 500 hotels to determine when to discount rooms based on occupancy patterns they are facing with the following challenge: they need to analyze large amounts of information in the decision-making process in order to make the correct decision. The goal of the decision <span> is to gain competitive advantage.</span>
Answer:
Goods Account (based on the question)
Alternatively :
In Accounts you would usually have a seperate account called ' Returns Inward' and they will be debited there.
