Answered: What is Sunrise's estimated annual…

Business

Accounting

What is Sunrise's estimated annual usage in units?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Sunrise Inc. has determined the following for a given year; ---- Economic order quantity (standard order size) 5,000 units. Total cost to place purchase orders for the year-- P10,000 ; Cost of place or purchase order--- P50; Cost to carrying one unit for one year--P4; What is Sunrise's estimated annual usage in units?

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