Answer:
The answer is below.
Explanation:
The z score is a used in statistics to determine by how many standard deviations the raw score is above or below the mean. The z score is given by:
a) Given that n = 100, μ = 2000, σ = 18
For x < 1995 millimeters:
From the normal distribution table, P(x < 1995) = P(z < -2.78) = 0.0027
b) P(z > z*) = 10% = 0.1
P(z < z*) = 1 - 0.1 = 0.9
z* = 1.28
From the normal distribution table, P(z < z
Answer:
$418,550
Explanation:
Steps are shown below:
a. The computation of the economic order quantity is shown below:
=
=
= 2,040 units
b. The number of orders would be equal to
= Annual demand ÷ economic order quantity
= $52,000 ÷ 2,040 units
= 25.49 orders
c. The average inventory would equal to
= Economic order quantity ÷ 2
= 2040 units ÷ 2
= 1,020 units
d. The total cost of ordering cost and carrying cost equals to
Ordering cost = Number of orders × ordering cost per order
= 25.49 orders × $50
= $1,275
Carrying cost = average inventory × carrying cost per unit
= 1,020 units × $1.25
= $1,275
So, the total annual cost would be
= Purchase cost + ordering cost + carrying cost
= $416,000 + $1,275 + $1,275
= $418,550
Purchase cost = Annual demand × cost per unit
= 52,000 × $8
= $416,000
Answer:
It should accepted.
Explanation:
We will compare the Special order with the variable cost associate with their productions.
As the orders has a postive income after variables expenses it should be accepted as contributes with the payment of fixed cost and this sales wasn't planned when solvign for the cost. Not doing the sale will avoid the comapny the opportunity of a profitable business cappable of allocate more fixed cost.