1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Sholpan [36]
3 years ago
6

MySchool Notebook Company uses 100,000 pounds of plastic pellets per year in the production of their custom 3-ring school binder

s. They buy the pellets at a cost of $0.75/lb delivered. They estimate that it costs them $100 to place and put away an order of pellets. They use an inventory holding rate of 20% of the cost of an item. Calculate the economic order quantity for plastic pellets for MySchool Notebook.
Business
1 answer:
Anton [14]3 years ago
3 0

Answer:

11547 lb

Explanation:

Economic Order Quantity is the ordering quantity where the cost of ordering and holding inventory is the minimum. It is the point where the cost of ordering and holding inventory intersects.

To calculate the Economic Order Quantity we use the following formula,

  • EOQ =√(2 × Annual Demand × Ordering Cost/Order) / Holding Cost per unit per annum

Plugging in the values in the formula,

  • EOQ = √(2 × 100000 × 100) / 0.15  ⇒ 11547.00538 rounded off to 11547 lbs
You might be interested in
Company A is considering a merger with Company B. A has 43,000 shares outstanding at a market price of $32 a share. B has 12,800
mrs_skeptik [129]

Answer: $1381400

Explanation:

From the question, we are informed that Company A is considering a merger with Company B and that A has 43,000 shares outstanding at a market price of $32 a share while B has 12,800 shares outstanding priced at $44 a share and the merger is expected to create $5,400 of synergy.

The total value of the merged firm will be:

= (43,000 × $32) + (12,800 × $44) + $5,400 - $563,200

= $1,376,000 + $563,200 + $5,400 - $563,200

= $1,944,600 - $563,200

= $1,381,400

6 0
3 years ago
A 2-year T-note was issued 9 months ago with a face value of $1000. It pays a 5% per annum coupon, paid semiannually. Suppose th
grandymaker [24]

Answer:

The Price of Bond today = $997.07

Explanation:

Semi annual coupons = $1000 * 5% / 2

Semi annual coupons = $25

As 9 months is already over in the two year bond, the coupons are payable

3 months from now, 9 months from now and 15 months from now.

The present value of all these coupons and the principal should be equal to the price of the bond today.  In case of continuous compounding, the formula for Present Value of any future Cash flow C is C*e^(-r*t).

Price of Bond = $25 * e^(-0.06*3/12) + 25*e^(-.061*9/12)+ 1025*e(-0.062*15/12)

Using the value of e as 2.71828

Price of Bond = $25 * 2.71828^(-0.06*3/12) + 25*2.71828^(-.061*9/12)+ 1025*2.71828(-0.062*15/12)

Price of Bond = $ 25 * 2.71828 ^-0.015 + 25*2.71828^-0.04575 + 1025*2.71828^-0.0775

Price of Bond = $ 25 * 1/2.71828^0.015 + 25*1/2.71828^0.04575 + 1025*1/2.71828^0.0775

Price of Bond = $997.07

7 0
3 years ago
If you were Marshall, what types of concerns would you want to be sure to bring up with the accountant?
damaskus [11]

Answer:

If I would be a Marshal, I would like succeeding apprehensions should to be indisputable with accountant.

  • Recognize the environment- accountant must appreciate the industry, responsibility or the organization in very clear style. He should clearly recognize and go with the administrative goals.
  • Communication capability- Accountant must have resilient communication capability to talk with other individual and to make him recognize about any request of that individual.
  • Flexibility- as the rules and policies are changes time to time, accountant must flexible enough to accept the changes easily.
  • Strong Ethics- moreover the applied ethics, accountant should also have durable moral ethics.
  • He should have durable confidence. Furthermore he should confirm to keep personal information secure.
  • Precise and Detailed evidence- the accounts organized by accountant must be precise and very clear. It also should be thorough. Proper foot notes should be stated in financial statements.
  • Inspiration- account must have competence of rational thinking to come up with fresh clarifications for given problems.
  • Trustworthiness- the accountant should be dependability. He knows the secrets of the responsibility. So he should not to reveal these secrets to anyone without prior specialist.

3 0
3 years ago
Which of the following is a challenge that could come with buying an existing business
sesenic [268]

Answer:

Explanation:

Do you have choices for this question?

5 0
3 years ago
Taxes levied on the sale, manufacture or use of specific items such as liquor, cigarettes, and gasoline are known as
Tasya [4]
Taxes levied on the sale, manufacture or use of specific items such as liquor, cigarettes, and gasoline are known as <u>selective sales taxes</u>, as well as <u>excise taxes.</u>
So, there aren't taxes on a whole bunch of products, but rather on a selected few, which (in the case of alcohol and cigarettes) are considered detrimental to the society and thus people who want to use them have to pay a little bit more in order to have that commodity. 
3 0
3 years ago
Other questions:
  • Your company introduced a new product one month ago. Since then, the Website has processed so many orders that the shipping and
    5·1 answer
  • The new ASC Topic 606 for revenue recognition:
    13·1 answer
  • Which of the following is a characteristic of economic services:
    7·1 answer
  • Wasilko Corporation produces and sells one product The budgeted selling price per unit is $114. Budgeted unit sales for February
    6·1 answer
  • Cutter Enterprises purchased equipment for $54,000 on January 1, 2021. The equipment is expected to have a five-year life and a
    15·1 answer
  • During May, Carolan Corporation transferred $59,000 from Work in Process to Finished Goods and recorded a Cost of Goods Sold of
    12·1 answer
  • Given the general agreement that pollution is undesirable and social welfare is increased by reducing pollution, the optimal lev
    13·1 answer
  • Dollar General sells convenience items such as light bulbs, laundry detergent, and milk at a lower price than a customer pays at
    11·1 answer
  • The management of Brinkley Corporation is interested in using simulation to estimate the profit per unit for a new product. The
    12·1 answer
  • a company produces a single product. variable production costs are $14.00 per unit and variable selling and administrative expen
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!