1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
kakasveta [241]
2 years ago
11

For a certain item, the cost-minimizing order quantity obtained with the basic EOQ model is 350 units, and the total annual inve

ntory (holding and order) cost is $1050. What is the inventory holding cost per unit per year for this item
Business
1 answer:
Zina [86]2 years ago
4 0

Answer: $3 per unit per year

Explanation:

Inventory holding cost per unit for this item is:

= Total Annual inventory carrying cost / Average inventory

Total Annual inventory carrying cost = Total annual inventory / 2

= 1,050 / 2

= $525

Average inventory = EOQ / 2

= 350 / 2

= 175 units

Inventory holding cost per unit = 525 / 175

= $3 per unit

You might be interested in
Choose the circumstances in which a debit card can be used. I. Point-of-sales transactions II. ATM withdrawals
natulia [17]

Answer:

The correct options are I and II

Explanation:

A debit card is the kind of payment card, which deducts the money directly or straight away from the checking account of the customer in order to pay for the purchase.

These cards also referred to as the check cards, which offer the person , the convenience of the credit cards as well as many of the customer protections. So, it could be used when the person involve in withdrawal of money from ATM and at point of sale, where the transaction is finalized and the customer tenders the payment in exchange of the service or good.

5 0
3 years ago
An investor has two bonds in her portfolio, Bond C and Bond Z. Each bond matures in 4 years, has a face value of $1,000, and has
aliya0001 [1]

Answer:

Years to maturity       Price of Bond C            Price of Bond Z

         4                               $1,084.42                       $711.03

         3                               $1,065.93                       $774.31

         2                               $1,045.80                      $843.23

         1                                $1,023.88                       $918.27

Explanation:

Note: See the attached excel for the calculations of the prices of Bond C and Bond Z.

The price of each bond of the bond can be calculated using the following excel function:

Bond price = -PV(rate, NPER, PMT, FV) ........... (1)

Where;

rate = Yield to maturity of each of the bonds

NPER = Years to maturity

PMT = Payment = Coupon rate * Face value

FV = Face value

Substituting all the relevant values into equation (1) for each of the Years to Maturity and inputting them into relevant cells in the attached excel sheet, we have:

Years to maturity       Price of Bond C            Price of Bond Z

         4                               $1,084.42                       $711.03

         3                               $1,065.93                       $774.31

         2                               $1,045.80                      $843.23

         1                                $1,023.88                       $918.27

Download xlsx
4 0
2 years ago
If Division Inc. expects to sell 200,000 units in the current year, desires ending inventory of 24,000 units, and has 22,000 uni
Lyrx [107]

Answer:

a) True

Explanation:

Sales = Opening + Production - Closing

$200,000 = $22,000 + Production - $24,000

Production = 202,000 Units

Hence, the answer is a. True

4 0
2 years ago
Many new restaurants have opened in collegetown in recent years. given this change in supply, what type of demand would result f
melamori03 [73]
The answer is Inelastic Demand. Hope this helps!!!
Have a great day!!

6 0
2 years ago
Colleges and universities use funds from a direct stafford loan to pay for _____ first. leftover funds are then disbursed to the
Alexxx [7]
College and universities use funds from direct Stafford loan to pay for school charges first. It is offered to eligible students to help finance their education and it must be repaid and are offered to both undergraduate and graduate students.
3 0
3 years ago
Read 2 more answers
Other questions:
  • Jonathan has been appointed the new Marketing Director for Big Waves Cruise Lines. Big Waves has been modestly successful but te
    6·1 answer
  • The cost of direct materials transferred into the Bottling Department of Mountain Springs Water Company is $538,900. The convers
    12·1 answer
  • Dollar Co. sold merchandise to Pound Co. on account, $25,500, terms 2/15, net 45. Pound Co. paid the invoice within the discount
    5·1 answer
  • The Center is an experienced home appliance dealer. The Center also offers a number of services together with the home appliance
    15·1 answer
  • Which of the following statements is false regarding the risk assessment component of internal control? a. Risk assessment inclu
    9·1 answer
  • Job A offers you the following financial package: base salary of $35,000, 2 weeks paid vacation, full coverage health insurance
    12·1 answer
  • On May 1, Year 1, Benz’s Sandwich Shop loaned $16,000 to Mark Henry for one year at 8 percent interest. Required a. What is Benz
    11·1 answer
  • What should the firm do if there is no possible output where the price would at least be equal to average variable costs
    10·1 answer
  • Describe the difference between an idea and a business opportunity.
    8·1 answer
  • A lack of business ethics can result in a lack of business goodwill is ture or flase?
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!