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Basile [38]
4 years ago
8

Power Pumps produces a variety of commercial sump pumps. One of their models—Mighty Mo—is produced in a small plant in Missouri.

Next year, Power Pumps anticipates on selling 2,000 units of the Mighty Mo. Each requires six rotors, which Power Pumps purchases from an overseas supplier. The cost of placing an order to this supplier is $250 while the unit cost of the rotor is $60. The holding cost for Power Pumps is 10% of purchasing price. What would be the total annual inventory cost for this part?
Business
1 answer:
mojhsa [17]4 years ago
4 0

Answer:

1000

Explanation:

The economic order quantity is given by the formula = Square root of [ (2 * D * S ) / (H) ]

D = Annual Demand = 2000*6=12000 numbers (six rotor for each pump)

S = Unit Order Cost = $ 250 / order

H = Inventory Holding Cost = 10% of Unit Cost = 10% of 60 = $ 6

The economic order quantity is given by the formula = Square root of [ (2 * D * S ) / (H) ]

Economic Order Quantiity = Squareroot of { (2 * 12000 * 250) / (6) }

Economic Order Quantiity = Squareroot of { 1,000,000 }

Economic Order Quantiity = 1000 numbers.

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Which of these is most likely a short-term goal for a high school freshman? A. Buy a house B. Retire comfortably C. Graduate fro
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D. Attend this afternoon's meeting

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Predeparture language and cultural training can:a. significantly increase the cost of an international assignment. b. increase t
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7 0
4 years ago
Eileen is setting up a company in QuickBooks Online and needs to fill in opening balances for vendors. What is the best way to r
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The best ways is to fill in the opening balance in the vendor details dialogue box. This method is quick, and one may finish it when one create the vendor.

The Vendor Balance Summary report summarizes the company's obligations and overpayments to certain vendors. The overarching goal of this report is to identify accounting irregularities. View the Vendor Balance Detailed report for further information on the vendor's balance.

The following information is included in the report:

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6 0
2 years ago
During 2018, the cash flows related to Global Data, Inc.'s lending and borrowing activities are summarized as follows:
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Answer:

-$144,000

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Cash flow from financing activities

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Proceeds from borrowing at bank (note payable) $217,500

Net cash used by financing activities -$144,000

The payment made to retired bond payable reflects the outflow of cash so we deducted it and the borrowing at bank is a cash inflow so we added it

And, the rest items are not relevant. Hence, ignored it

7 0
3 years ago
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