A distributor of automotive parts is considering the ordering and inventory policy for a new make of tire. This is a specialty item; the annual demand is only 2000 units. The cost of placing an order is $100, and annual inventory holding costs are estimated at 20% of the cost of an item. The price paid for the new tires will vary depending on the order quantity according to the following schedule:| Order Quantity | Cost per Unit ||----------------|---------------|| Less than 100 | $61 || 100 to 599 | $60 || 600 to 1199 | $59 || 1200 or more | $58 |Analyze this data to determine the Economic Order Quantity for this inventory item.

we need to find the order quantity that minimizes the total cost, considering both the ordering…

Answered: distributor of automotive parts is…

A First Course in Probability (10th Edition)

10th Edition

ISBN:9780134753119

Author:Sheldon Ross

Publisher:Sheldon Ross

Chapter1: Combinatorial Analysis

Section: Chapter Questions

Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...

See similar textbooks

Similar questions

Calculate the rate of markup on cost if the selling price is RO 450, expenses of 30 RO and a profit of 12 RO. a. 10.29% b. 90.66% c. 7.35% d. 9.33%
This question has 2 parts.
A company has 10 software engineers and 6 civil engineers. In how many ways can they be seated around a round table so that all the civil engineers do not sit together?
The manager of the customer service division of a major consumer electronics company is interested in determining whether the customers who have purchased a DVD player made by the company over the past 12 months are satisfied with their products. The possible responses to the question "How many DVD players made by other manufacturers have you used?" result in Select one: a. a ratio scale variable. b. an interval scale variable. c. a nominal scale variable. d. an ordinal scale variable.
The cost of goods sold for Veltron International last year amounted to $561,000, and the average inventory at cost was $374,000. The published inventory turnover at cost is 6.6. Calculate the inventory turnover at cost, and if it is less than the published rate, calculate the target average inventory at cost (in $). (If the actual turnover is greater than the published rate, enter "above" for target average inventory.) Inventory turnover at cost: Target average inventory at cost:
Find the total net cost of the shipment of materials shown in this figure. ITEM QUANTITY LIST $4.00 each Floor Box 10 -Inch Conduit 250 $2.26 each 250 $4.14 each Single-Pole Key Socket Body Single-Pole Flush Switch 35 $1.27 each DISCOUNT 20% 25% 40% 40%
The method that is used to calculate employees pay according to different levels of production is: a. Differential pay b. Straight commission c. Variable commission d. Straight piece rate
A small-appliance merchant shows an inventory of 120 Microwave Ovens at a cost of $79.80 and a market value of $79.40. Compute the inventory value at the lower of cost or market. $9,576 $9,528 $9,508 O $9,552
Find the total cost of the following shipment of materials: 23 floor boxes listed at $4.00 each, less 15% ; 150 half-inch conduits listed at $0.60 each, less 20% ; 125 convenience outlets listed at $0.79 each, less 10% ; 83 single-pole flush switches listed at $0.45 each, less 30%.
B) What is the variable cost per unit produced ( to 1 decimal) ?
A state government is planning to distribute tablets to students in public schools to facilitate remote learning. The tablets will be distributed to 50 schools across the state. Each tablet costs $300, and the government has allocated a budget of $450,000 for this initiative. Calculate the following: 1. The total number of tablets that can be purchased with the allocated budget. 2. The average number of tablets each school will receive. 3. If the state has a total student population of 10,000 and each tablet is intended for one student, calculate the percentage of students who will receive a tablet.
You are proxided with the following information about your city: Total population 2020 = 85,000 Median household income 2020 = € 36,000 Average household income 2020 = € 42,000 Sales of clothes and shoes per square meter in 2020 = € 2,340 Make whatever assumptions areneeded and estimate the total required square meters of clothing and shoe stores in your city in 2021. Show clearly and explain all the formulas and assumptions that you use for your calculations.

Recommended textbooks for you

A First Course in Probability (10th Edition)

Probability

ISBN:

9780134753119

Author:

Sheldon Ross

Publisher:

PEARSON

A First Course in Probability

Probability

ISBN:

9780321794772

Author:

Sheldon Ross

Publisher:

PEARSON

A First Course in Probability (10th Edition)

Probability

ISBN:

9780134753119

Author:

Sheldon Ross

Publisher:

PEARSON

A First Course in Probability

Probability

ISBN:

9780321794772

Author:

Sheldon Ross

Publisher:

PEARSON

SEE MORE TEXTBOOKS