QUESTION 18 Determine question 18 to 20 based en the following Rroblem Vicky Payne sells beauty supplies. Her annual demand for a particular skin lotion is 7.000 units. The cost of placing an order is $10 while the holding cost per unit per year is 10 percent of the cost. This item currently costs S2.50 if the order quantity is less than 1500, For orders 1500 or more units, the cost falls to $2.45 if Vicky Payne wishes to minimize her total annual inventory costs, he must evaluate the total cost for two possible order quantities. What are these two possible quantities? (Round answer to nearest unit) OA 237 and 239 OB. 748 and 756 OC 748 and 1500 OD. 756 and 1500 QUESTION 19 How many units should Vicky Payne order to minimize her total annual inventory cost? (Round your answer to the nearest unit) OA 748 OB. 756 OÇ 1500 OD 1501
QUESTION 18 Determine question 18 to 20 based en the following Rroblem Vicky Payne sells beauty supplies. Her annual demand for a particular skin lotion is 7.000 units. The cost of placing an order is $10 while the holding cost per unit per year is 10 percent of the cost. This item currently costs S2.50 if the order quantity is less than 1500, For orders 1500 or more units, the cost falls to $2.45 if Vicky Payne wishes to minimize her total annual inventory costs, he must evaluate the total cost for two possible order quantities. What are these two possible quantities? (Round answer to nearest unit) OA 237 and 239 OB. 748 and 756 OC 748 and 1500 OD. 756 and 1500 QUESTION 19 How many units should Vicky Payne order to minimize her total annual inventory cost? (Round your answer to the nearest unit) OA 748 OB. 756 OÇ 1500 OD 1501
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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
Transcribed Image Text:QUESTION 18
Determine question 18 to 20 based on the following Rroblem:
Vicky Payne sells beauty supplies. Her annual demand for a particular skin lotion is 7,000 units. The cost of placing an order is $10 while the
holding cost per unit per year is 10 percent of the cost. This item currently costs $2.50 if the order quantity is less than 1500. For orders 1500 or
more units, the cost falls to $2.45.
If Vicky Payne wishes to minimize her total annual inventory costs, he must evaluate the total cost for two possible order quantities. What are these
two possible quantities? (Round answer to nearest unit.)
OA 237 and 239
OB. 748 and 756
OC 748 and 1500
O D. 756 and 1500
QUESTION 19
3 poir
How many units should Vicky Payne order to minimize her total annual inventory cost? (Round your answer to the nearest unit.)
OA 748
OB. 756
OC 1500
OD. 1501
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