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Marta_Voda [28]
4 years ago
6

A manufacturer of lawn care equipment has introduced a new product. The anticipated demand is normally distributed with a mean o

f μ = 100 and a standard deviation of σ= 50. Each unit costs $75 to manufacture and the introductory price is to be $125 to achieve this level of sales. Any unsold units at the end of the season are unlikely to be very valuable and will be disposed of in a fire sale for $25 each. It costs $10 to hold a unit in inventory for the entire season.
A.) What is the cost of overstocking (Co)?
B.)What is the cost of understocking (Cu)?
C.)What is the optimal cycle service level?
D.) How many units should be manufactured for sale?
Business
1 answer:
Serjik [45]4 years ago
5 0

Answer:Expected profit = $2657a

Explanation:

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k= 5 units

L = 45 units

Explanation:

check the picture attached for full explanation and i hope it helps you

3 0
3 years ago
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______ factors are things in the global environment that may impact a firm’s operations or success, examples are a rise in inter
castortr0y [4]

Answer:

External.

Explanation:

The external factors in an organization, are all factors of its macroeconomic environment, and which directly or indirectly influence the results of its business, some of these factors can be: capital, inflation, technological changes, political changes, social changes, etc.

It is essential that managers establish in their strategic plans the external environment, so that there is security and control to deal with unexpected changes that can affect the profitability of a company, it is necessary to have control of capital, assets and liabilities, in addition to consider the changes that may occur and are not controllable.

5 0
3 years ago
A store that has very limited inventory commonly uses what type of inventory method ?
faltersainse [42]

RETAIL INVENTORY METHOD SHOULD BE USED BY A STORE .

Explanation:

The retail inventory method is an accounting method used to estimate the value of a store's merchandise. The retail method provides the ending inventory balance for a store by measuring the cost of inventory relative to the price of the merchandise. Along with sales and inventory for a period, the retail inventory method uses the cost-to-retail ratio.

Periodic counts might be once every two months or every three weeks, depending on warehouse size and company needs. This will create better visibility than yearly or seasonal options but it also requires more time and manpower. Workers must ensure they are performing inventory consistently between each count.

3 0
3 years ago
West company declared a $0.50 per share cash dividend. the company has 190,000 shares issued, and 10,000 shares in treasury stoc
Damm [24]
To record the dividend declaration
   Ordinary Share Capital   $90000
          Dividend Payable         $90000
to record payment
     Dividend Payable         $90000
           Cash                            $90000

The amount is derived from the shares issued and outstanding so, the 190000 issued is deducted by 10000 treasury shares because treasury shares are reacquired by the company so it is not an outstanding share, then just multiply the answer with the dividend per share to arrive at $90000

190000-10000shares * $.50 =$90000
4 0
3 years ago
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Aunt Mabel promised to give you $9000 when you successfully complete your freshman year, $6000 when you successfully complete yo
Blababa [14]

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After the junior year, Aunt Mabel's bank balance will be :

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Aunt Mabel's bank balance after sophomore year will be :

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After the freshman year, bank balance of Aunt Mable's will be :

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$=\frac{14,060.677}{1.0250} $

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4 0
3 years ago
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