Haulsee Inc. builds 800,000 golf carts a year and purchases the electronic motors for these carts for $370 each. Ordering costs are $540, and Haulsee's inventory www w carrying costs average 14% of the inventory value. What is the EOQ for Haulsee?

Practical Management Science
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ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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)Haulsee Inc. builds 800,000 golf carts a year and purchases the electronic motors
for these carts for $370 each. Ordering costs are $540, and Haulsee's inventory
carrying costs average 14% of the inventory value. What is the EOQ for Haulsee?
d) Alpha Products maintains a capital structure of 40% debt and 60% common
equity. To finance its capital budget for next year, the firm will sell $50 million of
11% debentures at par and finance the balance of its $125 million capital budget
with retained earnings. Next year Alpha expects net income to grow 7% to $140
Transcribed Image Text:)Haulsee Inc. builds 800,000 golf carts a year and purchases the electronic motors for these carts for $370 each. Ordering costs are $540, and Haulsee's inventory carrying costs average 14% of the inventory value. What is the EOQ for Haulsee? d) Alpha Products maintains a capital structure of 40% debt and 60% common equity. To finance its capital budget for next year, the firm will sell $50 million of 11% debentures at par and finance the balance of its $125 million capital budget with retained earnings. Next year Alpha expects net income to grow 7% to $140
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