Answer:
A) economic order quantity ( order quantity model that will minimize the total holding cost and ordering costs ) = 
= 
= 122. 74 ≈ 122 ( optimal ordering quantity ) units
B) Annual holding cost = 23 * 122 / 2 = $1403
C ) Annual ordering costs = 1500/122 * 77 = $947
D ) The reorder point = daily demand * lead time = 50 * 3 = 150 units
Explanation:
Annual demand for connectors : 1500
ordering cost ( cost to place and process an order ) : $77
annual holding cost per unit : $23
A) economic order quantity ( order quantity model that will minimize the total holding cost and ordering costs ) = = = 122. 74 ≈ 122 ( optimal ordering quantity ) units
B) Annual holding cost = 23 * 122/2 = $1403
C ) Annual ordering costs = 1500 / 122 * 77 = $946.72 ≈ $947
D ) The reorder point = daily demand * lead time = 50 * 3 = 150 units
daily demand = 1500 / 300 = 50
lead time = 3
Answer:
(C) debit to Foreign-Currency Transaction Loss-$1040
Explanation:
Foreign currency related Financial assets and financial liabilities are usually revalued with any difference as a result of the exchange rates posted as a gain or loss in the income statement.
On transaction date, cost of assets
= 520000 * $0.034
On payment date, the amount paid
= 520000 * $0.036
The amount paid is higher than the liability recorded before hence the difference is recognized as a loss on foreign exchange.
= 520000 * $0.036 - 520000 * $0.034
= $1040
Answer:
The authorized common stock shares remain 1,000,000 shares.
Explanation:
The authorized shares are not affected by movements in the shares, like issue of shares, repurchase, and resale of treasury stock shares. The authorized shares, therefore, represent the number of shares that the company is legally bound to issue without exceeding. The implication is that the company is free to issue shares less than or equal to the authorized shares, but it may not issue more than the authorized until it obtains a new authorization.
The movements are accounted for in separate accounts called Issued Common Stock Account and Treasury Stock Account. The treasury stock account is a contra account to the Common Stock.
Answer:
The correct answer is the option A: the company's present business offer attractive growth opportunities and can be counted on to create economic value for shareholders.
Explanation:
To begin with, the fact that a company faces the dilemma between continue with the current business lineup or change it in order to begin producing a new one by starting from zero then a lot of variables must be taken care of and considered, that is, that at the moment of making the final decision the managers must understand the opportunity costs that can affect the organization and moreover the benefits that the actual lineup makes. That is why, that at the time of sticking with the current business lineup it makes sense to continue with the current one when the company's present business offer attractive growth opportunities and can be counted on to create economic value for shareholders.
This participative style of leadership suggests that Gary is a <u>"democratic" </u>leader.
Democratic leadership, otherwise called participative leadership or shared leadership, is a sort of leadership style in which individuals from the gathering play a more participative job in the basic leadership process. This sort of administration can apply to any association, from private organizations to schools to government.
Everybody is given the chance to take part, thoughts are traded unreservedly, and talk is energized. While the majority rule process tends to center around gathering equity and the free stream of thoughts, the pioneer of the gathering is still there to offer direction and control. The democratic leader is accused of choosing who is in the gathering and who gets the opportunity to add to the choices that are made.
