Given that:  Sales = $300,000,000 Transportation cost = $15,000,000 Warehousing cost = $4,000,000 Inventory carrying cost rate (W) = 30% Cost of goods sold = $95,000,000 Other operating costs = $55,000,000 Average Inventory (AI) = $15,000,000 Accounts receivable = $35,000,000 What is the total operating cost?  Group of answer choices 56,500,000 48,500,000 75,500,000 78,500,000

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
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Given that: 

Sales = $300,000,000

Transportation cost = $15,000,000

Warehousing cost = $4,000,000

Inventory carrying cost rate (W) = 30%

Cost of goods sold = $95,000,000

Other operating costs = $55,000,000

Average Inventory (AI= $15,000,000

Accounts receivable = $35,000,000

What is the total operating cost? 

Group of answer choices
56,500,000
48,500,000
75,500,000
78,500,000
68,500,000
 
 
 
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