What is the best inventory policy for the cable? How does this compare with the current policy of placing a regular order every week?

Q: on hand or too little?

A: Given: To explain the firm which has more or less inventory on hands as,

Q: If ABC would like follow the EOQ model but also maintain a safety stock of 10,000 cases, how much…

A: Economic order quantity It refers to the quantity of goods that an organization should purchase to…

Q: Suppose that Al Ma'arif Group is engaged in manufacturing and sales of a seasonal product. Based on…

A: Level production plan is used where the demand for the product is seasonal. Under this plan units…

Q: Wheels and deals limited uses 60000 batteries each year in its production of motorcycles at a cost…

A: Ordering Cost: The term, Ordering cost refers to the cost incurred for acquiring inputs. These…

Q: Intercontinental’s special order also requires 1,000 kilograms of genatope, a solid chemical…

A: Managerial accounting:   Managerial accounting is more focused towards analyzing information and…

Q: Varto Company has 12,400 units of its sole product in inventory that it produced last year at a cost…

A: It is to be noted that the last of th inventory incurred last year is a sunk cost and not relevant…

Q: Scholes Systems supplies a particular type of office chair to large retailer such as Target, Costco,…

A: In order to determine the contribution margin per unit, the variable cost per unit is required to be…

Q: McDonald ltd is a retailer of fruit juices. The company has an annual demand of 72,500 barrels. The…

A: EOQ is the quantity at which total cost is lower.But if discount is given by seller or ordering and…

Q: Kent Firm is contemplating shortening its Credit Period from 40 to 30 days and believes that, as a…

A: Given: Particulars Existing Proposed  Credit period 40 30 Average collection period 45 36…

Q: Nestle Ltd. produces its premium plant food in 50 Kg bags. Demand is 100,000 Kgs. per week and the…

A: The maximum level of inventory is basically expressed as the highest volume or capacity of a company…

Q: Costa Company has a capacity of 40,000 units per year and is currently selling 35,000 for $400 each.…

A: Special order are acceptable to the extent if they bring incremental profits in the company. The…

Q: Your company opens and starts production this year and has variable costs per unit of $5,674 and…

A: Hence, under variable costing the amount of inventory reported is higher as compared to the amount…

Q: A company normally sells its product for $20 per unit. However, the selling price has fallen to $15…

A: Total cost of inventory = No. of units x cost per unit = 200 units x $16 per unit = $3200

Q: Samantha Ross is the procurement manager for the headquarters of a large Financial company chain…

A: Given that, Annual demand (A) = 7000 units per year Cost per unit = $120 Holding cost per unit (C) =…

Q: Dream Corporation is trying to improve its inventory control system and has installed an online…

A: Economic Order Quantity represents the optimal quantity to be purchased while placing every order…

Q: SamaCell has a demand of 2,000 cells per year. The cost of each unit is $80, and the inventory…

A: Economic Order Quantity (EOQ) refers to the concept of estimating the ideal quantity that a business…

Q: Oster Company Ltd. manufactures dusk to dawn lamps. The following are the details of their operation…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Demand for an item is 16 units a week. The unit cost of each item $5,000, while the ordering costs…

A: Since we answer upto three sub-parts, we shall answer first three. Please resubmit a new question…

Q: Ndapandula Investment CC sells about 12 000 bags of poulty grain per year. The Holding costs are N$…

A: Company is regularly working to manage the inventory. The inventory is managed in order to…

Q: What is the economic ordering quantity for chips?

A: The optimum units of any given product that must be ordered such that its ordering and holding…

Q: Assume Wyteboard Corp. markers uses 1,440,000 gallons of ink each year. Assume Palmer will order the…

A: The optimum order size is also known as economic order quantity. At this quantity ordered, the total…

Q: he sales of Neon Co. for a year in units is amounted to 14,400. Due to some shipping and…

A: solution given The sales of Neon Co. for a year in units  14400 maximum possible lead time…

Q: Furnco sells office chairs. Annual demand is normally distributed with a mean of 1040 chairs and a…

A: No of orders to be placed = A ÷ EOQ where A = annual units demanded            EOQ = economic order…

Q: National Co. uses about 200,000 yards of a particular fabric each year. The fabric costs P25 per…

A: The total annual cost is the cost of all the product cost including fixed and variable both. The…

Q: The Warren Watch Company sells watches for $26, fixed costs are$155,000, and variable costs are $13…

A: “Hey, since there are multiple sub-parts posted, we will answer first three sub-parts. If you want…

Q: cme Industries is currently experiencing problems with its inventory of anvils. Its manager, Willy…

A: a) Total annual Cost  = Total Order Cost + Total Carrying Cost                                    =…

Q: The efficiency gains resulting from a just-in-time inventory management system will allow a firm to…

A: The efficiency gains resulting from a just in time inventory management system will allow  a firm to…

Q: You have been hired as a financial manager by Alpha Company which sells 2,700 of car batteries per…

A: The following information has been provided in the question: Car batteries sold every year =2700…

Q: XYZ Inc. needs 400 kgs of a material per month. It costs OMR 100 to make and receive an orderand it…

A: Correct option is as fallows  Re order point = average daily sales × lead time + safety stock

Q: Consider a factory that produces gear boxes at the annual rate of 12,000. Demand for the gear boxes…

A: The optimal average stock level is the ideal amount of inventory that a manufacturer should have at…

Q: Bruce Co. has 4500 units in inventory. It made the product last year at a cost of $54 each. This…

A: Financial impact refers to the decrease or increases in the value of assets or liabilities…

Q: Based on an EOQ analysis (assuming a constant demand), the optimal order quantity is 2,500. The…

A: Given: Optimal order quantity = 2,500 units Safety stock = 500 units Price per unit = P4 Annual…

Q: A company stocks an item that is consumed at the rate of 30 units each day. Every time an order is…

A: As per Bartleby guideline, if questions are interlinked then first three sub parts to be answered.…

Q: A company stocks an item that is consumed at the rate of 35 units each day. Every time an order is…

A: Economic order quantity (EOQ) is the ideal order quantity a company should purchase to minimize…

Q: Based on an EOQ analysis (assuming a constant demand), the optimal order quantity is 2,500. The…

A: Average inventory level =Optimal order quantity2=2,500 units2=1,250 units

Q: Corporation resells one product to a small isolated community. It sells an average of 60 sacks, but…

A:

Q: Dream Corporation is trying to improve its inventory control system and has installed an online…

A: The inventory control system is a type of technological solution that helps in managing and tracking…

Q: RAF is currently makes all sales on credit and offers no cash discount. The firm is considering…

A: In order to arrive at the conclusion that whether the proposed discount should be offered or not, we…

Q: You have been hired as a financial manager by Alpha Company which sells 2.700 of car batteries per…

A:

Q: Jumbo Company uses 1,100 units of an particular item each year. Carrying the item in inventory costs…

A: Information Provided: Order cost = $150 Carrying cost = $200 Operating days = 250 Total usage = 1100…

Q: Kim Yin Company has 15,000 units in inventory that had a production cost of $3 per unit. These units…

A: To take decision regarding reworking on material or sell it as scrap, we need to check the…