Problem 11-10 (Algo)You are a newsvendor selling the San Pedro Times every morning. Before you get to work, you go to the printer and buy the day'spaper for $0.40 a copy. You sell a copy of the San Pedro Times for $1.30. Daily demand is distributed normally with mean = 325 andstandard deviation = 65. At the end of each morning, any leftover copies are worthless and they go to a recycle bin.a. How many copies of the San Pedro Times should you buy each morning?Note: Use Excel's NORM.S.INV() function to find the z value. Round your z value and service level to 2 decimal places and finalanswer to the nearest whole number.Optimal order quantityb. Based on a, what is the probability that you will run out of stock?Note: Round your answer to the nearest whole percent.Probability%

Given:Price P=$1.30Cost C=$0.40Salvage Value S= 0mean µ=325standard deviation σ=65Daily demand is…

Answered: Problem 11-10 (Algo) You are a…

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter15: Managing Short-term Assets

Section: Chapter Questions

Problem 14PROB

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Question 7 (Breakeven Analysis). You decided to sell Only coffee using Nespresso machine during Ramadan The Nespresso Machine Cost is 3,000 SAR Every cup of coffee required one brown sugar that cost 0.5 SAR, one disposable cup costs 1.5 SAR, and one coffee capsule costs 3 SAR If you sell one coffee for 10 SAR Option 2 Option 1 No Employee Sales quantity = 1500 per month Selling Price 10 SAR per coffee One more Employee and his salary is 4000 Expected sales quantity = 2500 per month Selling Price 10 SAR per coffee What is the breakeven quantity? What is the breakeven quantity? What is the profit? What is the profit? Which option is better?
The KVS Pharmacy is open from 10:00 A.M. to 8:00 P.M.,and it receives 200 calls per day for delivery orders. It coststhe pharmacy $25 to send out its cars to make deliveries.The pharmacy estimates that each minute a customerspends waiting for their order costs the pharmacy $0.20 inlost sales. a. How frequently should KVS send out its delivery carseach day? Indicate the total daily cost of deliveries. b. If a car could only carry six orders how often would de-liveries be made and what would be the cost?
The Katie's Card Shop sells calendars with different Colonial pictures shown for each month. The once-a- year order for each year's calendar arrives in September. From past experience the September to March demand for the calendars can be approximated by a normal distribution with mean 400 and standard deviation 100. The calendars cost $2 each, and Katie sells them for $3 each. a) If Katie throws out all unsold calendars at the end of March (i.e., salvage value is zero), how many calendars should be ordered? f Katie reduces the calendar price to $ 0.5 at the end of March and can sell all surplus calendars at this price, how many calendars should be ordered? show me how to solve this step by step in excel you are talking to a stupid person I need you to tell me in Cell A1 what to enter and so forth
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The Branding Iron Company sells its irons for $57 apiece wholesale. Production cost is $47 per iron. There is a 32% chance that wholesaler Q will go bankrupt within the next eight months. Q orders 1,000 irons and asks for eight months’ credit. Assume that the discount rate is 12% per year, there is no chance of a repeat order, and Q will pay either in full or not at all. a. Should you accept the order? Provide your explanations with calculations b. What is the break-even probability of default for wholesaler Q in this order? c. Suppose that customers who do not default become repeat customers and place the same order every period forever. What is the break-even probability of default?
Rio Coffee Shoppe sells two coffee drinks—a regular coffee and a latte. The two drinks have the following prices and cost characteristics: The monthly fixed costs at Rio are $9,176. Based on experience, the manager at Rio knows that the store sells 70 percent regular coffee and 30 percent lattes. Required: How many cups of regular coffee and lattes must Rio sell every month to break even?
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chapter 4 14. The toy buyer had the option of ordering stuffed animals directly from the manufacturer or from a nearby wholesaler. The manufacturer will not ship orders for less than $1,200 total list price. Delivery typically requires five weeks, and freight averages 2.5% of total billed cost. Trade discounts on the merchandise are 40% and 10%; terms are 2/10, n/30. A wholesaler located in the retailer's area stocks many of the same stuffed animals. he does not require a minimum order and will deliver at no charge in the area if the order has a total billed cost of at least $500. The manufacturer and wholesaler base cost on the same list price; however the wholesaler sells with trade discounts of 40% and 8% and terms of 1/15, n/30. What is the difference in the total net cost (including freight) of merchandise with a total list price of $1,200 from these two vendors? (Present your answer with a comma separator, dollar-sign, and rounded to the penny (i.e. $1,234.56).)
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You sell $5 million dollars' worth of delivery trucks to Walmart on account and offer them a 2% discount if they pay within 15 days, with the invoice due after 45 days (2/15, n/45). Unfortunately, Walmart returns all of the trucks after one week because they discover that the model you sold them is not approved for use in California. Which of the following is part of the correct journal entry to make at the time that Walmart returns the trucks? DEBIT to Sales Returns of $5 million CREDIT to Sales Discount of $100,000 CREDIT to Accounts Receivable of $4.9 million CREDIT to Sales Revenue of $5 million

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