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SVEN [57.7K]
3 years ago
8

Sarah's Muffler Shop has one standard muffler that fits a large variety of cars. Sarah wishes to establish a reorder point syste

m to manage inventory of this standard muffler. Annual demand 4,700 mufflers Ordering cost $ 60 per order Standard deviation of daily demand 5 mufflers per working day Service probability 90 % Item cost $ 25 per muffler Lead time 3 working days Annual holding cost 20 % of item value Working days 300 per year Use the above information to determine the best order size and the reorder point: (Use Excel's NORMSINV() function to find the correct critical value for the given α-level. Do not round intermediate calculations. Round "z" value to 2 decimal places and final answer to the nearest whole number.) Best order size mufflers Reorder point mufflers
Business
1 answer:
GarryVolchara [31]3 years ago
4 0

Answer:

Following is the solution for the given problem.

Explanation:

Best order size, EOQ =√2DS/H

EOQ = √2*4700*60/5

EOQ = 336 units.

D = 4700/300 = 15.66.

σ L= √∑σ²

= √3*(5)² = 8.66.

Reorder point, R = D*L+ z σ L

Reorder point, R = 15.66*3 + 1.282*8.66

Reorder point, R = 58 units.

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Auagaa474 Corporation had sales of $491,300 and average operating assets of $289,000 for the past period. What is the margin tha
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Answer:

16%

Explanation:

Calculation for the margin that Auagaa474 needed to earn in order to achieve an ROI of 27.2%

First step is to calculate the Turnover using this formula

Turnover = Sales ÷ Average operating assets

Let plug in the formula

Turnover= $491,300 ÷$289,000

Turnover=1.7

Now let calculate the margin using this formula

ROI = Margin × Turnover

Let plug in the formula

27.2% = Margin × 1.7

Margin = 27.2% ÷ 1.70

Margin=0.16*100

Margin= 16%

Therefore the margin that Auagaa474 needed to earn in order to achieve an ROI of 27.2% will be 16%

8 0
3 years ago
Scott, a young professional, buys a new BMW, even though a Mercedes would have cost him less. Scott values the BMW brand. This i
Vesnalui [34]

Answer:

The correct response will be "Paying a premium price ".

Explanation:

  • Each consumption has the fundamental economic intention of obtaining products that have the highest possible and the limit requirements at the lowest competitive prices.
  • And therefore, satisfied customers frequently ignore that instinct because some other manufacturer is still connected to something like the commodity.
3 0
3 years ago
A vital component of marketing is ______, which involves letting customers know the benefits of the product/service, where you c
Sindrei [870]

The vital component of marketing is promotion.

Promotion in marketing refers to any sort of marketing communication that is used to enlighten target audiences about the relative qualities of a product, service, brand, or problem, and is usually persuasive in nature. It assists marketers in creating a distinct space in the minds of their customers, which can be either cognitive or emotional.

Marketing relies heavily on promotion. Marketing promotion is described as a method of communication between buyer and seller in which the buyer persuades his or her audience to purchase his or her items.

Advertising, sales promotion, public relations, and direct marketing are the four primary promotional strategies.

Hence, the blank will be filled by promotion.

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5 0
2 years ago
To recover damages in a breach-of-contract case, the plaintiff must demonstrate that he used reasonable efforts to minimize the
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It's is true wait yeah it's A true
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3 years ago
You purchased 1,000 shares of stock in Natural Chicken Wings, Inc., at a price of $43.37 per share. Since you purchased the stoc
leonid [27]

Answer:

9.68%

Explanation:

Percent Return on Investment is calculated as Net Profit / Cost of Investment x 100

Net Profit= $46,620 (1,000 x $46.62 per share) + $950 (1,000 x $.95 per share) - $43,370 (1,000 x $43.37 per share) = $4,200

Cost of Investment= $43,370 (1,000 x $43.37 per share)

Percent Return on Investment=  $4,200 / $43,370 x 100 = 9.68%

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3 years ago
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