Answer:
E. None of the above is correct.
Explanation:
Answer:
Company A
The number of items that should be produced in each run to minimize total costs of production and storage is:
= 22,000 units
Explanation:
a) Data and Calculations:
Total annual demand = 550,000 units
Cost per production run = $330
Cost per unit = $5
Storage (holding) cost per item = $0.75
The number of items that should be produced in each run to minimize total costs of production and storage is given by Economic Order Quantity (EOQ) formula
= square root of (2 * 550,000 * $330)/$0.75
= square root of $363,000,000/$0.75
= square root of 484,000,000
= 22,000 units
Answer: $22000
Explanation:
The amount of Superior's dividend declarations during its recent year of operation will be calculated thus:
Ending retained earnings ($91000) = Beginning retained earnings ($75000) + Net income ($38000) - Dividend declared
$91000 = $113000 - Dividend declared
Dividend declared = $113000 - $91000
Dividend declared = $22000
Therefore, Superior's dividend declarations during its recent year of operation is $22000
The answer is B. Interest
