Octopus Company provides you with the following information regarding its inventory: Maximum lead time                                        5 weeks Minimum lead time                                         2 weeks Normal lead time                                            3 weeks Normal weekly usage                                     4 000 units Interest rate                                                    5% Cost price per unit                                          R20 per unit Inventory carrying cost                                   R7 per unit Ordering cost                                                  R30 per order Maximum weekly usage                                 4 000 units Minimum weekly usage                                 3 000 units Required: Calculate Number of orders per year      166.53 times      1700 times      155.63 times      167.53 times      None of the above

Q: C&A has on average $6000 in inventory and its daily sales are $200. What are C&A's weekly inventory…

A: C&A's weekly inventory turns = (No. of days x daily sales ) / Average inventory

Q: The ABC Semi Conductor Company purchase 40,000 units of mother board each year at a cost of $30.00…

A: EOQ = √ 2 X Annual Demand X Odering cost / Holding cost EOQ = √ 2 X 40,000 X 10 / 30 X 15% EOQ = √…

Q: At what inventory level should an order be placed?

A: Re-order Level is a present level of stock at which a business places a new order with its suppliers…

Q: The supplier of the bath towel is offering a discount of $25 off each order if orders are placed in…

A: Econi=omic order quantity=2×Annual demand×Ordering costCarrying cost

Q: 36,000 units. The invoice cost of each unit is P900, and the ordering cost per order is P240. Assun…

A: Average Inventory Average inventory is a statistic that takes the average of inventory items over…

Q: X sells 'mu-50' to its customers. It purchases mu-50 from Y @ 140 per unit. Y pays all freight to X.…

A:

Q: 1. Krissy operates its factory 300 days per year. Its annual used of Material Y is 300,000 gallons.…

A: Reorder Point = Lead Time Demand + Safety Stock Lead Time Demand = Average Daily Usage x Lead Time…

Q: DETERMINING INVENTORY MODELS FSYHILD is a manufacturing company of made to order face shield. It is…

A: Economic Order Quantity=2×Annual Demand×Ordering costs per orderHolding cost Reorder point=Average…

Q: Croy Incorporated has the following projected sales for the next five months: Month Sales in Units…

A: Financial control, better spending management, goal achievement, debt reduction, effective cash flow…

Q: 9. Martin Company uses 625 units of a part each year. The cost of placing one order is $8; the cost…

A: Economic order quantity: It can be defined as an optimum level of inventory at which the carry and…

Q: Economic Order Quantity Total Annual Cost Reorder Point.

A:

Q: Croy Incorporated has the following projected sales for the next five months: Sales in Units 3,520…

A: Production budget is the statement which is prepared by the entity for the purpose of determining…

Q: The Ace Battery Company has forecast its sales in units as follows: January 1,700 May February 1,550…

A: Production budget is the budget which is prepared to estimate the number of units to be produced for…

Q: of the last three years. The units in year 1 beginning inventory were based on production of 500…

A: The variable costing income statement treats fixed manufacturing cost to be expensed during the…

Q: You place an order for 310 units of inventory at a unit price of $160. The supplier offers terms of…

A: 1/15, net 90 means if the amount due is paid within 15 days, the customer will get 1% discount,…

Q: Suppose GameStop Company uses a periodic inventory system. Details for the inventory account for the…

A: Inventory valuation is based on the flow-off issue used by the organization. It can be the first in…

Q: (a) How much is the order quantity based on EOQ model? (b) How much is the total cost using EOQ…

A: EOQ is the acronym of economic order quantity; it is that level of quantity which is ordered by the…

Q: Journalize the transactions for the month of April, assuming the company uses a: -  Periodic…

A: Perpetual Inventory System and Periodic Inventory System: There are two main systems—periodic and…

Q: The S&OP team at Kansas Furniture, has received thefollowing estimates of demand…

A: There is no lost sales in both plans. Assuming that there is no limit on the number of units that…

Q: If demand for one year is 25,000 units, relevant ordering cost for each purchase order is $210 and…

A: The economic order quantity (EOQ) is a quantity that a company should buy to minimize its cost of…

Q: A Company estimates that its carrying cost is 20% of the purchase price and its ordering cost at…

A: Economic order quantity (EOQ)  that represents to the company  the ideal order size , allowing them…

Q: pany plans to sell 220 units. The selling price per unit is $24. There are 50 units in the beginning…

A: A budget is defined as an estimate of revenue income and expenses for a set period of time. The…

Q: Benham Foundries manufactures metal components. The inventory policy at Benham is to hold inventory…

A: Lets understand the basics.Units available for sale are the units in beginning inventory and the…

Q: Flex-Tite manufactures plastic parts. The inventory policy at Flex-Tite is to hold inventory equal…

A: Units available for sale are the units in beginning inventory and the production or purchases during…

Q: Q4. Annual cost of carrying a unit Tk 15 And ordering costs per order Tk 500 Time Required for…

A: The details regarding inventory are given Required  1. Re order Level 2. Maximum Stock Level 3.…

Q: er the next 12 months is E this item is 4, and ending riod and a setup cost of 5

A: Demand = (6, 12, 4, 8,15, 25, 20, 5, 10, 20, 5, 12) Subtract starting inventory from period 1 demand…

Q: MANGO store had the following purchases during its first year of operations. They purchased 1880…

A: Lets understand the basics. For calculating ending inventory, we will need to use below formula.…

Q: [The following information applies to the questions displayed below.] Iguana, Inc., manufactures…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Carmen Company sells jar candles. The sales forecast (units) for the coming months is: April May…

A: Budget is the plan of the company's spending based on its income and expenses.  It estimates the…

Q: b) Wansam Ltd extracted the following from its records: Monthly demands of Ba Carrying cost per unit…

A: Based on the analysis, Wansam Ltd. should order 2,828 units each time the inventory level reaches…

Q: Firm Tezla produces the product QuickCar. Annual demand for QuickCar is 600600 units per year on a…

A: Correct option is b. 110 units .

Q: A company purchase the following item from supplier A   Annual Demand   3000   Holding…

A: “Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Determine the reorder point. order point units Determine the economic order quantity.

A: We know that, Reorder point = average daily usage*lead time + safety stock So here, reorder point is…

Q: Octopus Company provides you with the following information regarding its inventory: Maximum lead…

A: A reorder point (ROP) is the point at which your inventory must be replenished. In other words, it…

Q: a. Find the reorder point necessary to provide a 98 percent service probability.

A: Following formula can be used to calculate the re-order point:

Q: Assuming 300 working days in a year, what is the time between the placement of two consecutive…

A: Given Data: Daily Demand = 20 units Standard deviation = 3

Q: Petromax Enterprises uses a continuous review inventory control system for one of its SKUs. The…

A: Given :- Demand = 83200 units /year. Ordering cost = $32.50/order. Holding cost = $3.50/unit/year.