Q: The ABC Semi Conductor Company purchase 40,000 units of mother board each year at a cost of $30.00…
A: EOQ = √ 2 X Annual Demand X Odering cost / Holding cost EOQ = √ 2 X 40,000 X 10 / 30 X 15% EOQ = √…
Q: A moped manufacturing company needs 100,000 units of moped tires for its production per year.The…
A: Economic order quantity was an inventory management costing principle used to find out required…
Q: How much would be the number of orders to be placed in a year? *
A:
Q: Items purchased from a vendor cost $20 each, and the forecast for next year’s demand is 1,000 units.…
A: Given: Demand = 1,000 units Ordering cost = $5 per unit Storage cost = $4 per unit
Q: Bulldogs Inc. expects to use 48,000 boxes of chocolate per year costing P12 per box. Inventory…
A: Total Boxes = 48,000 Cost per Box = P12 Inventory carrying cost = 20% Safety stock = 2,400 Order per…
Q: Nowlin Pipe & Steel has projected sales of 19,600 pipes this year, an ordering cost of $5 per order,…
A: a. Economic Order Quantity = (2S0 / C)1/2 where, C = carrying cost per unit S = total demand in…
Q: Fisk Corporation is trying to improve its inventory control system and has installed an online…
A: The company needs to maintain some sort of inventory for the regular functioning of production and…
Q: A local retailer anticipates an annual demand 15000 units of a product. The retailer allows…
A: The inventory management aims to accomplish to reach satisfaction on the custom services…
Q: H&M chief demand planner has estimated that 9250,000 units of clothing sold in 2021.H&M cost of…
A: Economic Order Quantity - EOQ helps the company ensure the quantity that needs to order quantity…
Q: Hi Tech Corporation (HTC) expects to order 295,000 memory chips for inventory during the coming…
A: Step 1 Economic order quantity (EOQ) is the ideal order quantity a company should purchase to…
Q: A firm uses 2,400 units of a product per year on a continuous basis. The product carrying costs are…
A: Economic Order Quantity (EOQ) was related with inventory management and it helps to order the…
Q: Farrow Co. expects to sell 150,000 units of its product in the next period with the following…
A: Incremental income refers to the extra incomes from an extra quantity sold. It is like marginal…
Q: Samsung uses 600 touch-screen glasses a month to manufacture cell phones. Each touch screen-glass…
A: If the company is using 600 units a month so it will order units every month. Therefore, number of…
Q: Alpha retail store predicts an annual demand of 4920 kgs of a food product. It costs RO 100 to make…
A: In order to minimise the total inventory costs that includes ordering costs and inventory holding…
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: 4. If the price of the material is RO 15 per unit and the annual consumption is 4000 units, the…
A: Economic order quantity means the number of units to be ordered so that total cost of inventory will…
Q: Enrun Corporation expects to order 140,000 memory chips for inventory during the coming year, and it…
A: Economic Order Quantity - It is an order quantity that company should purchase to minimize the…
Q: A store sells a product that has the annual demand of 16,156 units. It purchases the product from…
A: At EOQ, total ordering cost and carrying cost is minimum. Total ordering and carrying cost can be…
Q: Howard Temple, Inc., expects to sell 20,000 pool cues for $12.00 each. Direct materials costs are…
A: Given that, Expected number of selling units = 20000 pool cues Opening inventory of finished goods =…
Q: What is BBOS’s total inventory cost per year,
A: The optimum units of any given product that must be ordered such that its ordering and holding…
Q: The Xenopeltis Company estimates its requirement, which is 39,000 units semiannually at a price of…
A: Semi annual requirement = 39000 Units Annual requirement (A) = 39000*2 = 78000 Units Price per unit…
Q: Mix Electronics purchases 2,400,000 units per year of a component with a purchase price of P50. The…
A: EOQ formula: EOQ = [2*d*s/h]^0.5 where d = annual quantity = 2,400,000 s = cost per order = 15 h =…
Q: Nowlin Pipe & Steel has projected sales of 6,400 pipes this year, an ordering cost of $5 per order,…
A: The conceptual formula used:
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: Given: Peter Piper has projected sales of 72,000 pipes this year, ordering cost of P6 per order,…
A: Economic Order Quantity refers to optimal level of inventory being purchased by an entity while…
Q: A trading company expects to sell 15,000 mixers during the coming year. The cost of storing a mixer…
A: Economic order quantity: Economic order quantity is the method that helps to determine the best…
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: Bell Computers purchases integrated chips at $350 per chip. The holding cost is $36 per unit per…
A:
Q: The annual demand for an item is 10,000 units, the order quantity is 250, and theservice level is…
A: stock out is the situation when inventory is unable to meet the demand.
Q: Bulldogs Inc. expects to use 48,000 boxes of chocolate per year costing P12 per box. Inventory…
A: Solution:- Carrying cost of inventory means the cost incurred in order to store the inventory.
Q: Megah Berhad sources its component for its annual manufacturing requirement from Ho Chi Minh,…
A: EOQ (Economic Order Quantity) = 2A*OC Where, A= Annual demand in units= RM 6000000/ RM 20 O=…
Q: WZY processing company uses 2,400 units of a product per year on a continuous basis. The product…
A: Solution A- EOQ= 2×A×O/C A= Annual demand O= ordering cost C= Carrying cost EOQ=2×2400×252.05/60…
Q: Brannon Company expects sales of 700 units for the first quarter, 750 units for the second…
A: Expected sales = (First quarter sale + Second quarter sale + Third quarter sale + Fourth quarter…
Q: Based on an EOQ analysis (assuming a constant demand), the optimal order quantity is 2,500. The…
A: Given: Optimal order quantity = 2,500 units Safety stock = 500 units Price per unit = P4 Annual…
Q: A company stocks an item that is consumed at the rate of 30 units each day. Every time an order is…
A: As per Bartleby guideline, if questions are interlinked then first three sub parts to be answered.…
Q: If ABC would like follow the EOQ model but also maintain a safety stock of 10,000 cases, how much…
A: EOQ, Economic Order Quantity can be defined as the position of ordering the goods according to the…
Q: Disk City, Inc. is a retailer for digital video disks. The projected net income for the current year…
A: Calculate the contribution margin: Particulars Amount ($) Selling price 19 Less:…
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: Demand for a product is 12,000 units per year. Every time an order is made, the company must pay…
A: Cost of inventory is the total cost of ordering and carrying the inventory.
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: Faber Manufacturing, Inc., of St. Paul, Minnesota has an economic order quantity considering…
A: The maximum level of inventory is the maximum quantity of material which have to keep in store. We…
Hi Tech Corporation (HTC) expects to order 295,000 memory chips for inventory during the coming year, and it will use this inventory at a constant rate. Fixed ordering costs are $300 per order; the purchase price per chip is $32; and the firm’s inventory carrying costs is equal to 18 percent of the purchase price. What is the economic ordering quantity for chips?
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- A moped manufacturing company needs 100,000 units of moped tires for its production per year. The carrying costs of these tires are 10 per unit per year. Fixed ordering cost is 400. What is the optimal number of units should the company order each time in order to minimize total inventory cost? At this optimal quantity, how often should the company order its moped tires? Assume a 365-day year.Items purchased from a vendor cost $20 each, and the forecast for next year’s demand is 1,000 units. If it costs $5 every time an order is placed for more units and the storage cost is $4 per unit per year, a. What quantity should be ordered each time? b. What is the total ordering cost for a year? c. What is the total storage cost for a year?Hammond Supplies expects sales of 235,880 units per year with carrying costs of $2.18 per unit and ordering cost of $3.1 per order. Assuming the level of inventory is stable, what is the optimal average number of units in inventory? Round to the nearest whole number.
- Sawtooth Industries uses an economic order quantity (EOQ) model to manage its inventory Investment. The company uses about 25,000 molded plastic assemblies each year. Order costs for these are P150 per order, while carrying costs are about P250 per unit per year. Assume a 365 day year. Sawtooth Industries' economic order quantity (EOQ) for these parts would be unitsNdapandula Investment CC sells about 12 000 bags of poulty grain per year. The Holding costs are N$ 50.00 per bag per year, and the Ordering costs are about N$ 100.00 per order. The Investment company operates 280 days per year. Determine: I. The optimal economic order quantity. II. The total annual inventory costs III. If the demand increases to 13 000 bags per year, what will the total annual inventory costs amount to?Suppose Big Box Office Supply (BBOS) purchases 100,000 office chairs every year. Ordering costs are $95.00 per order and carrying costs are $4.95 per chair. What is BBOS’s total inventory cost per year, including both carrying costs and ordering costs, if BBOS orders the EOQ of office chairs?
- The Warren W. Fisher Computer Corporation purchases 8,000 transistors each year as components inminicomputers. The unit cost of each transistor is $10, and the cost of carrying one transistor in inventoryfor a year is $3. Ordering cost is $30 per order and finds that deliveries from his supplier generally take 5working days. What are?(a) the optimal order quantity.(b) the expected number of orders placed each year.(c) the expected time between orders? Assume that Fisher operates on a 200-day working year.(d) the reorder point for the transistors."Disk City, Inc., is a retailer for digital video disks. The projected net income for the current year is $200,000 based on a sales volume of 200,000 video disks. Disk City has been selling the disks for $16 each. The variable costs consist of the $10 unit purchase price of the disks and a handling cost of $2 per disk. Disk City’s annual fixed costs are $600,000. Management is planning for the coming year, when it expects that the unit purchase price of the video disks will increase 30 percent. (Ignore income taxes.). "Required: 1.Calculate Disk City’s break-even point for the current year in number of video disks. 2.What will be the company’s net income for the current year if there is a 10 percent increase in projected unit sales volume? 3.What volume of sales (in dollars) must Disk City achieve in the coming year to maintain the same net income as projected for the current year if the unit selling price remains at $16? 4.In order to cover a 30 percent increase in…Given: Peter Piper has projected sales of 72,000 pipes this year, ordering cost of P6 per order, and carrying costs of P2.40 per pipe. With the given data, can you give me the solution on how to get: -What is the economic ordering quantity? -Total inventory cost at EOQ -How many orders will be placed during the year?-What will the average inventory be? Thank you in advance.
- Consider a factory that produces gear boxes at the annual rate of 12,000. Demand for the gear boxes is 7200 per year. It costs the factory $100,000 for each run, and the holding cost per gear box per year is $500. Compute the factory's optimal average inventory. Round your answer to the nearest whole number.H&M chief demand planner has estimated that 9250,000 units of clothing sold in 2021.H&M cost of placing and processing an ordee is R250 ,while the annual cost of holding a unit in its didtribution center is projected at 5% of the unit purchase price.Both costs are expected to be constant for the foreseeable future.on average H&M sells a unit of clothing for R300 at cost plus 50%.Orders are received two weeks after being placed with the supplier.Assume 365 day year and that demand is constant throughout the year.Calculate the economic order quantity?Disk City, Inc. is a retailer for digital video disks. The projected net income for the current year is $1,760,000 based on a sales volume of 260,000 video disks. Disk City has been selling the disks for $19 each. The variable costs consist of the $8 unit purchase price of the disks and a handling cost of $2 per disk. Disk City’s annual fixed costs are $580,000. Management is planning for the coming year, when it expects that the unit purchase price of the video disks will increase 30 percent. (Ignore income taxes.) Q. What volume of sales (in dollars) must Disk City achieve in the coming year to maintain the same net income as projected for the current year if the unit selling price remains at $19? (Do not round intermediate calculations. Round your final answer to the nearest whole number.)