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Softa [21]
3 years ago
9

15 stores and their distribution warehouse. The Paint Supply Store franchise sells an average of 70 gallons of Purple Paint ever

y week (for 52 weeks per year). Their current policy is that when they place an order for Purple Paint from their supplier, they order 90 gallons at a price of $4.00 per gallon. [The company does not hold Safety Stock] It takes 2.50 weeks to receive an order from the supplier. Administrative costs for Ordering paint have been estimated to be $35 per order. Holding Costs = 40% of the purchase price per gallon per year. What is the Total Annual Inventory Cost for the company's current policy?
Business
1 answer:
erastova [34]3 years ago
4 0

Answer: $1,487.56

Explanation:

Total annual inventory cost = Ordering cost + Inventory Holding cost

Ordering cost = Number of orders * ordering cost

= (Annual demand / Order quantity) * 35

= ((52 weeks per year * 70) / 90) * 35

= $1,415.56

Inventory holding cost:

= Average inventory * holding cost

= (90 gallons / 2) * (40% * 4)

= $72

Total annual inventory cost = 1,415.56 + 36

= $1,487.56

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Answer:

The population would be 1318 million

Explanation:

Acording to the formula

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3 years ago
If a bond's coupon rate exceeds its yield to maturity, the bond is selling at ____________.
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If a bond's coupon rate exceeds its yield to maturity, the bond is selling at a premium over par.

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5 0
1 year ago
Adieu Enterprises, based in Toronto, decides to expand into the South American market. To do so, it establishes a separate opera
Ilia_Sergeevich [38]

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The statement is: True.

Explanation:

A wholly-owned subsidiary is a corporation with a common stock owned by another company at one hundred percent (100%). When a company owns less than fifty percent (50%) of another company, the company holds a minority interest in it. The parent company will control all development, management, and profits with a wholly-owned subsidiary but it also shares costs and responsibilities.

8 0
3 years ago
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Answer:

correct answer is 50% and 26 weeks

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solution

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so correct answer is 50% and 26 weeks

5 0
3 years ago
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