Answer:
B. Sending accounts receivable confirmations.
Answer:
c. half of the order quantity
Explanation:
Based on the constant demand assumption in the economic order quantity (EOQ) model, the average cycle inventory is <u>half of the order quantity</u>
Economic order quantity is a quantity which minimizes the ordering cost and holding cost
Q = EOQ = 
where D = Demand unit, S = Order cost and H = Holding cost
- Ordering cost and the Holding at EOQ will be same
- Average inventory = Q/2
- Average inventory is the half of the order quantity.
Answer:
It will incur an Opportunity cost of $8,000.
Explanation:
It will incur the opportunity cost of $8000 because the additional unit produces by the company then the additional revenue that is generated will be equal to the amount (25 - 20) x 12,000 = 60,000. Since the additional cost, that incurs for the production of 12000 units is 52000. Therefore the profit earned is $8000.
So if the company does not produce it then it will lose the profit of $8000.
Answer:
amount of net sales = $1370,000
so correct option is b. $1,370,000
Explanation:
given data
Increase in Accounts Receivable = $370,000
Cash Received = $1 million
to find out
amount of net sales
solution
we get here amount of net sales that is express as
amount of net sales = Cash Received + Increase in Accounts Receivable .............1
put here value we get
amount of net sales = $1000000 + $370,000
amount of net sales = $1370,000
so correct option is b. $1,370,000
Answer:
Corporation- a company or group of people authorized to act as a single entity (legally a person) and recognized as such in law.
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