Answer:
Please see attachment and assumptions
Explanation:
<h2>Please note that the assumption is that the full question is as follows .</h2><h2>You are making the inventory decisions for an international company that sells bathing suits. The product has a forecasted daily demand with mean 100 and standard deviation 36. The selling season only lasts 6 months since bathing suits are a seasonal item. You are procuring the product from your factory in China (out-sourcing) and as a result the lead time is so long (6 months) that you can only place only one order per selling season (6 months before the season begins). You want to ensure a service level of 97.5% and the cost of capital of the firm is 20% (that is, the firm faces an annual interest rate of 20%). Shipping cost is $4,500 while procurement cost (purchase cost) per item is $5.</h2><h2>1.How many bathing suits should you order from your factory in China?
</h2><h2>2.What is the total holding cost?
</h2><h2>3.What is the total ordering cost?</h2>
Congrats for getting a man !
Wells Technical Institute's method of recording unearned revenues and prepaid expenses into its balance sheet accounts is known as an accrual method of accounting.
<h3>What is accrual method?</h3>
A method of accounting in which the payments and the receipts for a business are recorded in the books of accounts at the time they are due, but not yet received, is known as the accrual method of accounting.
Hence, the significance of accrual method is given above.
Learn more about accrual method here:
brainly.com/question/14868839
#SPJ1
Answer:
a. What is Local's gross margin? (Round to one decimal place.)
0.4412 / 44.12%
b. What is Local's operating margin? (Round to one decimal place.)
0.1618 / 16.18%
c. What is Local's net profit margin? (Round to two decimal places.)
0.1049 / 10.49%
Explanation:
Local Co.
Income Statement for the year ended MM DD, YY
$, million
Sales 10.20
-Cost of sales <u> 5.70</u>
=Gross Income 4.50
-Selling, general and administrative expenses 0.55
-Research and development 1.20
-Annual depreciation charges <u> 1.10 </u>
=Operating Income 1.65
-Tax rate of 35 %. <u> 0.58 </u>
=Net Income <u> </u><u>1.07 </u>
(a) Gross Margin = Gross Income / Sales = 4.50 / 10.20 = 0.4412 = 44.12%
(b) Operating Margin = Operating Profit / Sales = 1.65 / 10.20 =0.1618=16.18%
(c) Net Profit Margin = Net Income / Sales = 1.07 / 10.20 = 0.1049 = 10.49%
