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Setler79 [48]
3 years ago
13

The catering manager of lavista​ hotel, lisa​ ferguson, is disturbed by the amount of silverware she is losing every week. last

friday​ night, when her crew tried to set up for a banquet for 500​ people, they did not have enough knives. she decides she needs to order some more​ silverware, but wants to take advantage of any quantity discounts her vendor will offer.
Business
1 answer:
Finger [1]3 years ago
4 0

Answer:

A.16,971 pieces

B.$530.34

C.$530.32

Explanation:

a)

EOQ = √2∗A∗B÷C

EOQ = Economic Order Quantity

A = Annual Demand

B = Buying Cost

C = Carrying Cost per unit per year

Hence:

A = 45,000 pieces

B = $200 per order

C = $1.25 * 5% per unit per year

= $0.0625

EOQ = √2∗45,000∗$200 ÷ $0.0625

= 16,970.56 approximately 16,971 pieces

b)

Annual Holding Cost = Average Inventory * Holding Cost per unit per year

Average Inventory = EOQ÷2

Using the formula

Annual Holding Cost = 16,971 ÷2 ∗$0.0625

Annual Holding Cost =8,485.5×$0.0625

Annual Holding Cost = $530.34

c)

Annual Ordering Cost = Ordering Cost Per order * No. of Orders

No. of Orders = Annual Demand÷EOQ

Annual Ordering Cost = $200∗45,000÷ 16,971

Annual Ordering Cost =$9,000,000÷16,971

Annual Ordering Cost = $530.32

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Ernest Burns, Orlando summemour, and randy Hatcher formed swi Partners, a general partner- ship. J. t. turner Construction Compa
SpyIntel [72]

Answer:

Summemour and Hatcher WERE JOINTLY and SEVERALLY LIABLE

Explanation:

What is Partnership

Partnership is a form of business, where individuals come together to carry on business with the primary intention of making profit. Mostly, they come together by contributing capital and expertise to make the business work . Every partner is however liable and responsible for both the profit made and the losses or liabilities of the partnership.

Although the general partner has unlimited liability, every partner is however jointly and severely liable for the business

Were Summemour and Hatcher Liable?

This case is referred in the J.T. Turner Construction Company v. Summerour and Hatcher(2009). The court this case declared that both Hatcher and Summemour were jointly and severally liable as a result of the following reasons.

A partner becomes liable especially for a prior judgment based on the following

1. The partnership has proven indebtedness

2. A general partner in the partnership was sued to court

Based on these, Summemour and Hatcher WERE JOINTLY and SEVERALLY LIABLE

6 0
3 years ago
Why does the law of increasing opportunity cost occur?
Elena L [17]

Answer:

The correct answer is A and B

Explanation:

Law of increasing the opportunity cost is the principle or the concept which is defined as the company continue to increase the production of one good, the opportunity cost of producing the next unit will increase.

It is as to reallocate the resources in order to produce that one good which was better or best suited to produce the original good.

The law of opportunity cost occur when some of the resources are best suited for some tasks or products instead of others and it will lead to increase in production with increase in the opportunity cost too.

8 0
3 years ago
Galvin has deposited $879 in a savings account that earns interest at a rate of 1.8% compounded quarterly.what will the account
Tju [1.3M]

$1,130.28

Formula is A = P (1 + [r/n])^(nt)

A= 879 (1+ [.018/4])^(4*14)

A= 879 (1.0045)^56

A= $1,130.28

A = future total amount

P = principle (amount initially deposited)

r = the annual interest rate (decimal)

n = times that interest is compounded per year  (quarterly is 4 times per year)

t = number of years

3 0
3 years ago
Economic Ordering Quantity (EOQ). The Gentry Garden Center sells 100,000 bags of lawn fertilizer annually. The optimal safety st
GalinKa [24]

Answer:

1. Annual demand ( D) = 100,000 bags

Ordering cost per order (Co) = $15

Holding cost per item per annum (H) = 15% x  $2 = $0.30

EOQ = √<u>2DCo</u>

                H

EOQ = √<u>2 x 100,000 x $15</u>

                  0.30

EOQ = 3,162 units

2. Maximum inventory

   = Safety stock + EOQ

   = 1,500 + 3,162

   = 4,662 units

3. Average inventory

   = EOQ/2

   = <u>3,162</u>

         2

   = 1,581 units

4. Number of order

   = <u>Annual demand</u>

            EOQ

   = <u>100,000</u>

        3,162

  = 32 times

       

Explanation:

EOQ is the square root of 2 multiplied by annual demand and ordering cost per order divided by  holding cost per item per annum.

Maximum inventory is the aggregate of safety stock and EOQ.

Average inventory is economic order quantity divided by 2

Number of order is the ratio of annual demand to economic order quantity.

3 0
3 years ago
Scottech is examining an investment opportunity that will involve buying $100,000 worth of equipment. They will need $10,000 in
aleksandrvk [35]

Answer:

113,000.

Explanation:

Let go through all the items to see whether we need to include them in the initial outlay or not.

(1) $100,000 worth of equipment => Yes

(2) Shipping will cost $5,000 and installation will cost $8,000 => Yes (Add to purchase price of equipment)

(3) Paid a management consultant $4,000 to analyze this project => No =>This is sunk cost (already incurred regardless of accept or reject the prject)

(4) Increase sales by $20,000 per year => No => under operating cashflow.

(5) $3,500 to train the employees to use the new equipment => No => under operating cashflow.

So, total initial outlay = 100,000 + 5,000 + 8,000 = 113,000.

7 0
3 years ago
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