answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
masya89
23 days ago
6

Mark Achin sells 3,600 electric motors each year. The cost of these is $200 each, and demand is constant throughout the year. Th

e cost of placing an order is $40, while the holding cost is $20 per unit per year. There are 360 working days per year and the lead-time is 5 days. If Mark orders 200 units each time he places an order, what would his average inventory be (in units)?a. 100. b. 200.c. 60 d. 120.e. none of the above.
Business
1 answer:
stepan [3.5K]23 days ago
8 0

Response:

A) 100

Clarification:

total sales 3,600 units

cost per unit $200

order placement cost $40

holding cost is $20 annually

working days 360 yearly

lead time is 5 days

Should Mark purchase 200 units per order, what would his average stock be?

daily sales = total sales / working days = 3,600 / 360 = 10 units daily

orders each year = 3,600 / 200 = 18

Mark's order frequency = 360 days / 18 orders = 20 days

average inventory = (200 units / 20 days) x 10 days = 100

I presume Mark has some safety inventory to ensure he can cover the 5-day lead time.

You might be interested in
Kimberly's Crown sells and designs jewelry. Despite the jewelry's popularity, products are available only through a few shopping
marusya05 [3725]

Answer:

B. vertical

Explanation:

In the situation described in the question, it can be concluded that Kimberly experiences vertical conflict. This type represents a dispute between two distinct entities within the same market or industry. In this instance, the issue arises between Kimberly's outlet and a competing store in the same sector.

4 0
1 month ago
marketing student is estimating the average amount of money that students at a large university spent on sporting events last ye
Nady [3600]
The correct choice is Option A.
7 0
1 month ago
Read 2 more answers
The concept of​ "Power Payments" will help you repay your loans faster and reduce your total interest payments. Consider a situa
Nady [3600]

Answer:

Your priority should be to settle loan C, as it entails the highest monthly payment and the steepest APR. Paying off your credit card balance (loan C) as soon as possible is advantageous.

In contrast, loan B requires a lower monthly payment and features a significantly reduced APR.

6 0
25 days ago
Janet and Megan are roommates. They spend most of their time studying (of course), but they leave some time for their favorite a
marusya05 [3725]

Answer:

The opportunity cost for Janet to create a pizza amounts to 0.67 gallons of root beer, while for Megan it is 0.71 gallons of root beer.

Janet possesses an absolute advantage in pizza making, and Janet also has a comparative advantage in this activity.

When it comes to trading, Janet will exchange pizza for root beer. The price of pizza can be represented by the amount of root beer in gallons. To ensure both roommates benefit, the highest trade price for pizza is 0.71 gallons of root beer, while the minimum price allowing for mutual benefit is 0.67 gallons of root beer per pizza.

Explanation:

For Janet, the cost to produce one gallon of root beer is 3/2, which equals 1.5 pizzas. Janet's cost for making a pizza is calculated as 2/3, resulting in 0.67 gallons of root beer.

As for Megan, her cost to produce a gallon of root beer is 7/5, translating to 1.4 pizzas. Megan's cost of producing a pizza is 5/7, which equals 0.71 gallons of root beer.

Opportunity costs represent the additional expenses or benefits forfeited when electing one action or investment in place of another option. For instance, Janet can create either 1.5 pizzas or 1 gallon of root beer in a span of 3 hours, but she cannot accomplish both simultaneously; she must make a choice between the two options.

6 0
1 month ago
Peggy Lane Corp. a producer of machine tools, wants to move to a larger site. Two alternative locations have been identified: Bo
Mariulka [3825]
Here are the steps outlined below: Explanation: Two possible sites are being considered: Bonham: Fixed costs total $820,000 with variable costs at $15,000 per unit. McKinney: Fixed costs are $920,000 and variable costs are $13,900 per unit. Setting the equations: Bonham = 820,000 + 15,000x; McKinney = 920,000 + 13,900x. Solving these gives us

820,000 + 15,000x = 920,000 + 13,900x. This results in

1,100x = 100,000, thus x = 91 units. For the break-even analysis: 1) Break-even point = fixed costs / contribution margin for Bonham: 820,000 / (28,000 - 15,000) = 63 units. Similarly, for McKinney, the break-even is 920,000 / (28,000 - 13,900) = 65 units.

3 0
1 month ago
Other questions:
  • Yancey Productions is a film studio that uses a job-order costing system. The company’s direct materials consist of items such a
    9·1 answer
  • A new restaurant has introduced a wildly popular macaroni and cheese dish made with goat cheese. however, at approximately the s
    10·2 answers
  • Washington has an extensive collection of baseball cards. He wants to know how much his mint condition, rookie-year Hank Aaron c
    12·1 answer
  • Just before Henderson Laboratories opened for business, Eugene Henderson, the owner, had the following assets and liabilities. C
    15·1 answer
  • The document that lists the steps of the budget process is the
    12·1 answer
  • 1. When Heidi Ganahl talks with franchisees about performance expectations and measurements, what part of the management process
    8·1 answer
  • Which of the following can cause an increase in the price of a discount bond? a. An increase in the YTM. b. A decrease in the YT
    5·1 answer
  • Is the futures price of a stock index greater than or less than the expected future value of the index? Explain your answer.
    8·1 answer
  • 1. (20 total points) Suppose the demand for a product is given by QD = 50 – (1/2)P.a) (10 points) Calculate the Price Elasticity
    12·1 answer
  • Lansing, Inc. provides the following information for one of its department's operations for June (no new material is added in De
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!