Answer
The answer and procedures of the exercise are attached in the following archives.
Step-by-step explanation:
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Answer:
The EOQ is 353 units
Explanation:
The economic order quantity or EOQ is the quantoty that minimized the holding and ordering cost for invetory.
The formula for EOQ is,
EOQ = √(2*D*O) / H
Where,
- D is the annual demand in units
- O is the ordering cost per order
- H is the holding cost per unit per annum
The annual demand of oil filters by Sam is,
Annual demand = 52 * 150 = 7800 filters
The EOQ for Sam Auto Shop is,
EOQ = √(2*7800*16) / 2
EOQ = 353.27 Units rounded off to 353 units
Answer:
Therefore after 16.26 unit of time, both accounts have same balance.
The both account have $8,834.43.
Explanation:
Formula for continuous compounding :

P(t)= value after t time
= Initial principal
r= rate of interest annually
t=length of time.
Given that, someone invested $5,000 at an interest 3.5% and another one invested $5,250 at an interest 3.2% .
Let after t year the both accounts have same balance.
For the first case,
P= $5,000, r=3.5%=0.035

For the second case,
P= $5,250, r=3.5%=0.032

According to the problem,




Taking ln both sides



Therefore after 16.26 unit of time, both accounts have same balance.
The account balance on that time is

=$8,834.43
The both account have $8,834.43.
Answer:
Q = 15
profit at q=15 $800
Explanation:
To maximize their profit it will produce until the marginal cost equalize the marignal revenue.
As the price is 120 each additional unitgenerates 120 dollars of revenue.
Now, we solve for the marginal cost

Q = 15
<em><u>Total cost </u></em>
<em><u /></em>
<em><u>Profit</u></em>
$120 x 15 units - $1,000 cost = 800