Question: Acting as an outside consultant, what would you recommend that Pepe do? Given the data in the case, perform a financial analysis to evaluate the

Acting as an outside consultant, what would you recommend that Pepe do? Given the data in the case, perform a financial analysis to evaluate the alternatives that you have identified. (Assume that the new inventory could be valued at six weeks' worth of the yearly cost of sales. Use a 30 percent inventory carrying cost rate.) compute the payback period for each alternative.

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Assume that Sales are 200M Cost of Sales 40 80M Operating Expense 28 56M Profit 32 64M If leadtime i... View full answer

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