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grigory [225]
3 years ago
8

Problem 10-05 (Algorithmic) The Metropolitan Bus Company (MBC) purchases diesel fuel from American Petroleum Supply. In addition

to the fuel cost, American Petroleum Supply charges MBC $150 per order to cover the expenses of delivering and transferring the fuel to MBC's storage tanks. The lead time for a new shipment from American Petroleum is 10 days; the cost of holding a gallon of fuel in the storage tanks is $0.05 per month, or $0.6 per year; and annual fuel usage is 50,000 gallons. MBC buses operate 250 days a year. What is the optimal order quantity for MBC
Business
1 answer:
USPshnik [31]3 years ago
7 0

Answer:

456 Gallons

Explanation:

The Optimal order quantity can be found using the following formula:

Economic Order Quantity = Sqrt (2* Annual Demand * Ordering cost per order / Holding cost per unit per year)

EOQ= SquareRoot (2 * 50000 Gallons * $150 per order/ 0.48 Holding costs)

Economic Order Quantity = 456 Gallons

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: How does horizontal growth differ from vertical growth as a corporate strategy? From concentric diversification?
Rina8888 [55]

Answer:

Explanation:

Horizontal Growth is a growth in which the company extend its business by obtaining larger share of its market by acquiring its competitors.

Example: Apple iphone acquires samsung.

Vertical growth is growth in which company acquires another entity in it's supply chain there are two kinds of vertical growth:

1) Backward : in this growth the company acquires its suppliers such as car assembling Company acquires Tyre supplying company.

2) Forward : in this growth the company enters in to customers market by acquiring its customers such as leather production company acquires shoe making company.

8 0
3 years ago
AK Inc. is paying 5% coupon rate for its bondholders over the next 8 years. Your required rate of return is 7 percent, how much
ratelena [41]

Answer: $880.57

Explanation:

Assuming Par value of bond is $1,000.

Value of bond = (Coupon * Present value interest factor of annuity, no. years, required return) + Par Value/ (1 + required return)^ no. of years

Coupon = 5% * 1,000 = $50

Value of bond = (50 * 5.9713) + 1,000 / (1 + 7%)⁸

= ‭298.565‬ + 582

= $880.57

6 0
3 years ago
Which statement WOULD NOT be true about the value of career research?
Rudiy27

Answer: There are many careers that would support your well-being. Career exploration allows you to find the one that pays the most so your well-being is enhanced to the highest degree

Explanation:

When making a career research, it's vital to consider the opinion of the people that already have that career as their occupation as they already have the required knowledge concerning the job.

Also, one should consider the availability of job, the skills, abilities that one has and the future prospects of the job.

Furthermore, we all have something we value about careers and our opinions regarding that might be different.

Therefore, the correct option is "There are many careers that would support your well-being. Career exploration allows you to find the one that pays the most so your well-being is enhanced to the highest degree". This is false.

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3 years ago
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The Scott Company decided to sell stock to raise capital. Under what form of business organization does the company operate?
svlad2 [7]
The answer is Corporation.  Corporations is a legal entity of a group of investors/shareholders as governed by the Securities and Exchange Commission.  In the event of shortage of capital, the shareholders votes and agrees to sell some stocks in order to gain more capital. 
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3 years ago
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