18.This is Cost Accounting. Explain briefly and answer. The following information applies to PANCIT CANTON CO., which supplies microscopes to laboratories throughout the country. PCC purchases the microscopes from a manufacturer which has a reputation for very high quality in its manufacturing operation. Annual demand (weekly demand=1/52 of annual demand) 20,800 units Orders per year 20 Lead time in days 15 days Cost of placing an order P100 What is the reorder point? Group of answer choices 875 units 857 units 1560 units 2080 units 940 units

Managerial Accounting: The Cornerstone of Business Decision-Making
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Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
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Chapter7: Cost-volume-profit Analysis
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18.This is Cost Accounting. Explain briefly and answer.

The following information applies to PANCIT CANTON CO., which supplies microscopes to laboratories throughout the country. PCC purchases the microscopes from a manufacturer which has a reputation for very high quality in its manufacturing operation.

Annual demand (weekly demand=1/52 of annual demand) 20,800 units

Orders per year 20

Lead time in days 15 days

Cost of placing an order P100

What is the reorder point?

Group of answer choices

  1. 875 units
  2. 857 units
  3. 1560 units
  4. 2080 units
  5. 940 units
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