Answer:
100 units
Explanation:
Given that,
Annual demand (D) = 500 units
Ordering cost (S) = $5 per order
Holding cost (H) = $0.50 per unit per year
Optimal order quantity(Q):
![=\sqrt{\frac{2\times D\times S}{H}}](https://tex.z-dn.net/?f=%3D%5Csqrt%7B%5Cfrac%7B2%5Ctimes%20D%5Ctimes%20S%7D%7BH%7D%7D)
![=\sqrt{\frac{2\times 500\times 5}{0.50}}](https://tex.z-dn.net/?f=%3D%5Csqrt%7B%5Cfrac%7B2%5Ctimes%20500%5Ctimes%205%7D%7B0.50%7D%7D)
![=\sqrt{\frac{5,000}{0.50}}](https://tex.z-dn.net/?f=%3D%5Csqrt%7B%5Cfrac%7B5%2C000%7D%7B0.50%7D%7D)
![=\sqrt{10,000}](https://tex.z-dn.net/?f=%3D%5Csqrt%7B10%2C000%7D)
= 100 units
So, the optimal number of diamonds to be ordered is 100 units.
Answer:
c. debit to Interest Expense of $1,000.
Explanation:
The adjusting entry is as follows:
Interest expense Dr ($50,000 × 6% × 4 months ÷ 12 months) $1,000
To Interest payable $1,000
(Being the interest expense is recorded)
Here interest expense is debited as it increased the expense and credited the interest payable as it also increased the liabilities
Therefore the correct option is c.
Answer:
well if you live in a safe country
Explanation:
u wont experience any crime
This question is incomplete, the complete question is;
We will derive a two-state put option value in this problem.
Data: S₀ = 106; X = 112; 1 + r = 1.12. The two possibilities for ST are 149 and 75.
The range of S is 74 while that of P is 37 across the two states. What is the hedge ratio of the put
Answer: the hedge ratio of the put H = - 1/2 ≈ - 0.5
Explanation:
Given that;
S₀ = 106, X = 112, 1 + r = 1.12
Us₀ = 149 ⇒ Pu = 0
ds₀ = 75 ⇒ Pd = 37
To find the Hedge ratio using the expression
H = Pu - Pd /Us₀ - ds₀
so we substitute
H = 0 - 37 / 149 - 75
H = - 37/ 74
H = - 1/2 ≈ - 0.5