Find the total cost of the following shipment of materials: 23 floorboxes 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, less10% ; 83 single-pole flush switches listed at $0.45 each, less 30%.

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Answered: Find the total cost of the following…

Elementary Geometry For College Students, 7e

7th Edition

ISBN:9781337614085

Author:Alexander, Daniel C.; Koeberlein, Geralyn M.

Publisher:Alexander, Daniel C.; Koeberlein, Geralyn M.

ChapterP: Preliminary Concepts

SectionP.CT: Test

Problem 1CT

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Ross White’s machine shop uses 2500 brackets during the course of a year, and this usage is relatively constant throughout the year. These brackets are purchased from a supplier 100 miles away for $15 each, and the lead time is 2 days. The holding cost per bracket per year is $1.50 (or 10% of the unit cost) and the ordering cost is $18.75. There are 250 working days per year. a) i) What is Ross White’s optimal order quantity? ii) What is the company’s total cost of inventory? b) Ross White wants to re-consider his decision of buying the brackets and is considering making the brackets in-house. He has determined that set-up cost would be $25 in machinist time and lost production time. Ross estimates that the cost (including labor time and materials) of producing one bracket would be $14.80, and that holding cost will be 10% of this cost. i) What is Ross Whites’ optimal production quantity? ii) If Ross White uses the optimal production quantity, what would be his annual cost of…
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Show your complete and clear solution.
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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%.