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natta225 [31]
3 years ago
6

Mark Achin sells 3,600 electric motors each year. The cost of these is $200 each, and demand is constant throughout the year. Th

e cost of placing an order is $40, while the holding cost is $20 per unit per year. There are 360 working days per year and the lead-time is 5 days. If Mark orders 200 units each time he places an order, what would his average inventory be (in units)?a. 100. b. 200.c. 60 d. 120.e. none of the above.
Business
1 answer:
netineya [11]3 years ago
8 0

Answer:

A) 100

Explanation:

total sales 3,600 units

cost per unit $200

cost of placing order $40

holding cost $20 per year

working days 360 per year

lead time 5 days

If Mark orders 200 units each time, his average inventory ?

daily sales = total sales / working days = 3,600 / 360 = 10 units per day

number of orders per year = 3,600 / 200 = 18

Mark places one order every = 360 days / 18 orders = 20 days

average inventory = (200 units / 20 days) x 10 days = 100

I assume that mark has some type of safety stock that allows him to hold enough inventory to cover for the 5 day lead time.

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Answer:

1. C

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4. D

Explanation:

Price can be defined as the amount of money that is required to be paid by a buyer (customer) to a seller (producer) in order to acquire goods and services.

In sales and marketing, pricing of products is considered to be an essential element of a business firm's marketing mix because place, promotion and product largely depends on it.

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The various types of cost variance components and their definition includes the following;

1. Actual price: the amount paid to acquire input.

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gayaneshka [121]
Hi

I remember they used to give me options for this kind of question :)

Here you go, I remember the answer is : Craft

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Answer:

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Explanation:

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