Law is a practical discipline: theory has no place in law . With specific references of the Law of Contract , discuss

A sporting goods company has a distribution center that maintains inventory of fishing rods. The fishing rods have the following

kiruha [24]

Solution:

Average demand = 100 units per day, with a standard deviation of 12 units

Average lead time = 12 days with a standard deviation of 2 days

250 days per year

unit cost = $25 , desired service level = 95% , Ordering cost = $50 , Inventory carrying cost = 20%

Lets say

Average demand = Ad

Average lead time = At

Unit cost = U

Desired service level = Dl

Ordering cost = O

Inventory carrying cost = Icc

Standard deviation =S

Thus,

S of demand at Dl = $12 * 12^{\wedge} 2$ = 205 units

SS = 1.65 multiply with 205 = 339 units

Total units in a day = 250 multiply with 100 = 25000

EOQ = $(2 * 25000 \text { units per year } * 50 \text { per order }) /(25 \text { per unit* } 0.2)$ = 708 units

here 25 and 0.2 is unit cost and invetory cost

TAC

annual ordering cost

O = $50 * 25000 / 708$ = 1765.5

Annual inventory cost

Icc = $25^{*} 0.2^{*}(708 \text { units } / 2)$ = 1770

Annual product cost = Pc

25 multiply with 25000 = 625000

total = O +Icc+Pc

625000+1770+1765.5 = 628535.5

If the service level increases from 95% to 99%, cost will dec per unit

4 0

2 years ago

A homeowner desires to sell his or her home and signs an exclusive-listing agreement, requiring payment of a six percent commiss

dem82 [27]

Answer: B. must pay a commission of $24,000 to the listing agent.

Explanation:

An exclusive listing agreement is a contractual agreement whereby a listing broker acts as the agent and in this case, the seller will pay a commission to the listing broker.

Since the homeowner has already signed an exclusive-listing agreement, which requires payment of 6% commission to the real estate agent but later finds a couple who purchases it for $400,000. In this case, the homeowner must still funlfil the terms of the contact and pay the listing agent the percentage that was agreed as commission and this will be:

= 6% × $400000.

= $24000

Therefore, $24000 must be paid to the listing agent.

3 0

3 years ago

What is the price of a stock today if it pays a Dividend TODAY of $2. Its growth rate is 5%, and its market return is 12%?

Nutka1998 [239]

Answer:

$30.00

Explanation:

The price of the stock can be derived from the stock theoretical price formula given and explained below:

stock price=expected dividend/(market return-growth rate)

expected dividend=dividend paid today*(1+growth rate)

expected dividend=$2*(1+5%)

expected dividend=$2.10

market rate of return=12%

growth rate=5%

stock price=$2.10/(12%-5%)

stock price=$2.10/7%

stock price=$30.00

8 0

2 years ago

The Horizon Company will invest $60,000 in a temporary project that will generate the following cash inflows for the next three

Sholpan [36]

Answer:

$ -3,163.04

No

Explanation:

The net present value is the present value of after tax cash flows from an investment to the amount invested.

The NPV can be found using a financial calculator:

Cash flow in year 0 = -$60,000

Cash flow in year 1- $ 15,000

Cash flow in year 2- $25,000

Cash flow in year 3- $40,000 - $10,000 = $30,000

I = 10%

NPV = $-3,163.04

The project should not be embarked upon because the cost of the project is greater than the present value of the after tax cash flows. The NPV is negative.

To find the NPV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

3 0

3 years ago

Why are the incoming mails registered in the office? Give reasons,

shepuryov [24]

Answer:

because they send the mail to you as it enter the mail or mailbox is a delivery

6 0

3 years ago