What do you think Anielski means by the phrase

Average daily demand is 50 units and the standard deviation is 5 units. Lead time is 2 days and the service level is 95%. A peri

Elis [28]

Answer:

475

Explanation:

The computation of the target level that should be set is given below:

= demand per day × (lead time + review period)+ safety stock

where

safety stock is

= z value at service level × standard deviation × √(review period + lead time)

= 1.64 × 5 × √(7 + 2)

= 24.67

Now the target level should be

= 50 × (7 + 2) + 24.67

= 474.67

= 475

7 0

3 years ago

You own a small deli that produces sandwiches, soups, and other items for customers in your town. Which of the following is a de

dexar [7]

Answer: You renovate the second floor of your building to increase the size of the dining room.

Explanation:

4 0

3 years ago

Lehman Corp. has two departments: Assembly and Testing. Assembly department had beginning inventory of 750 units which were 50%

algol13

Answer:

Total equivalent unit 1,425 units

Explanation:

Under the first-in -first out system, to account for the units completed in a period, it is assumed that the opening inventory units are first completed and the balance represents the newly introduced.

Fully worked represents unit of inventory started this this period and completed this period

Fully worked = completed units - opening inventory

Fully worked = 1200 -750 = 450 units

Item Units Equivalent Units

Opening WIP 750 750×50% 375

Fully worked 450 450× 100% 450

Closing WIP 800 800× 75% 600

Total equivalent unit 1,425

Note the opening inventory has 50% work done last period so the balance of 50% i.e (100 - 50) is completed this period

5 0

3 years ago

On January 2, 2009, L Co. issued at par $20,000 of 4% bonds convertible in total into 1,000 shares of L's common stock. No bonds

MrRissso [65]

Answer:

The correct answer is $1.2 per share.

Explanation:

According to the scenario, the computation of the given data are as follows:

Interest expense of Bonds = $20,000 × 4% = $800

Now, Interest expense of Bond, After tax = $800 × ( 1 - 50%) = $800 × 0.50

= $400

So, we can calculate the diluted earning by using following formula:

Diluted Earning = (Net income + Interest expense after tax) ÷ Total outstanding shares outstanding

Where, Total outstanding shares = 1,000 shares + 1,000 shares = 2,000 shares

By putting the value, we get

Diluted earning = ($2000 + $400 ) ÷ 2,000

= $1.2 per share

4 0

3 years ago

Two companies are financed as follows: X Co. Y Co. Bonds payable, 9% issued at face $5,000,000 $3,000,000 Common stock, $25 par

BartSMP [9]

Answer:

The Earnings per Share on Common Stock X Co. $ Y Co is $9.15 and $10.05 respectively.

Explanation:

To compute the earning per share, first we have to calculate the net income and number of outstanding shares.

In mathematically,

Earning per share = Net income ÷ Number of outstanding shares

where,

Net income = Income before bond interest and income taxes - interest - tax

where,

Interest = Bonds × Rate

Tax = income tax rate × remaining balance

whereas, number of outstanding shares = Common stock ÷ price of shares

So,

For X,

The net income is = $2,280,000 - ($5,000,000 × 9%) - (40% of remaining balance)

= $2,280,000 - $450,000 - $732,000

= $1,098,000

And, Number of outstanding shares = 3,000,000 ÷ $25 = 120,000

So, Earning per share for X is

= $1,098,000 ÷ 120,000 = $9.15

For Y,

The net income is = $2,280,000 - ($3,000,000 × 9%) - (40% of remaining balance)

= $2,280,000 - $270,000 - $804,000

= $1,206,000

And, Number of outstanding shares = 3,000,000 ÷ $25 = 120,000

So, Earning per share for X is

= $1,206,000 ÷ 120,000 = $10.05

Hence, the Earnings per Share on Common Stock X Co. $ Y Co is $9.15 and $10.05 respectively.

3 0

3 years ago