Homework Help is Here – Start Your Trial Now!
Business
Accounting
use a ship tha truck the part econd option will t holding cost is esti

use a ship tha truck the part econd option will t holding cost is esti

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question
Your options for shipping S100,000 of machine parts from Hamilton to Malaysia, are: 1) 2) The second option will take only 20 days. You are paid via a letter of credit the day the parts arrive. Your holding cost is estimated at use a ship that will take 30 days at a cost of truck the parts to Vancouver and then ship at a total cost of $3,800 or $4,500 10% of the value per year. a. Calculate the daily holding cost. Round to two decimal places. (if your answer is $90 then put 90.00) b. Calculate the difference in cost per day between shipping options. Round to two decimal places. (Round to 2 decimal points $82.19 put 82.19 or $100 put 100.00) Daily holding cost = Difference in cost/day in shipping options =
Transcribed Image Text:Your options for shipping S100,000 of machine parts from Hamilton to Malaysia, are: 1) 2) The second option will take only 20 days. You are paid via a letter of credit the day the parts arrive. Your holding cost is estimated at use a ship that will take 30 days at a cost of truck the parts to Vancouver and then ship at a total cost of $3,800 or $4,500 10% of the value per year. a. Calculate the daily holding cost. Round to two decimal places. (if your answer is $90 then put 90.00) b. Calculate the difference in cost per day between shipping options. Round to two decimal places. (Round to 2 decimal points $82.19 put 82.19 or $100 put 100.00) Daily holding cost = Difference in cost/day in shipping options =
Expert Solution
steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS