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SVETLANKA909090 [29]

2 years ago

8

Abey Kuruvilla, of Parkside Plumbing, uses 1,210 of a certain spare part that costs $26 for each order, with an annual holdi

ng cost of $24. a) Calculate the total cost for order sizes of 25, 40, 50, 60, and 100 (round your responses to two decimal places).

1 answer:

Andreyy892 years ago

8 0

Answer:

Annual demand(D) = 1,210

Ordering cost(S) = $26

Annual holding cost (H) = $24

With the order quantity(Q) = 25,

Total cost = Holding cost + ordering cost

= [(Q/2)H] + [(D/Q)S]

= [(25/2)24] + [(1210/25)26]

= $300 + $1258.4

= $1558.4

With the order quantity(Q) = 40,

Total cost = Holding cost + ordering cost

= [(Q/2)H] + [(D/Q)S]

= [(40/2)24] + [(1210/40)26]

= $480 + $786.5

= $1266.5

With the order quantity(Q) = 50,

Total cost = Holding cost + ordering cost

= [(Q/2)H] + [(D/Q)S]

= [(50/2)24] + [(1210/50)26]

= $600 + $605

= $1205

With the order quantity(Q) = 60,

Total cost = Holding cost + ordering cost

= [(Q/2)H] + [(D/Q)S]

= [(60/2)24] + [(1210/60)26]

= $720 + $524.33

= $1244.33

With the order quantity(Q) = 100,

Total cost = Holding cost + ordering cost

= [(Q/2)H] + [(D/Q)S]

= [(100/2)24] + [(1210/100)26]

= $1200 + $314.6

= $1514.6

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3 years ago

A company has net income of $187,000, a profit margin of 8.6 percent, and an accounts receivable balance of $126,370. assuming 6

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The solution for this problem is get first the total sales, credit sales and receivables turnover.
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3 years ago

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Answer:

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2 years ago

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Answer:

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Explanation:

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