Jackson Electrical, one of the largest generator dealers in Phoenix, sells about 2,000 generators a year. The
Question:
Jackson Electrical, one of the largest generator dealers in Phoenix, sells about 2,000 generators a year. The cost of placing an order with its supplier is $750, and the inventory carrying costs are $170 for each generator. Jackson likes to maintain safety stock of 15 generators at all times.
a. What is the firm’s EOQ?
b. How many orders will the firm need to place this year?
c. What is the average inventory for the season?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 63% (11 reviews)
Annual sales 2000 units Cost of placing an order 750 Inventorycarrying c...View the full answer
Answered By
Somshukla Chakraborty
I have a teaching experience of more than 4 years by now in diverse subjects like History,Geography,Political Science,Sociology,Business Enterprise,Economics,Environmental Management etc.I teach students from classes 9-12 and undergraduate students.I boards I handle are IB,IGCSE, state boards,ICSE, CBSE.I am passionate about teaching.Full satisfaction of the students is my main goal.
I have completed my graduation and master's in history from Jadavpur University Kolkata,India in 2012 and I have completed my B.Ed from the same University in 2013. I have taught in a reputed school of Kolkata (subjects-History,Geography,Civics,Political Science) from 2014-2016.I worked as a guest lecturer of history in a college of Kolkata for 2 years teaching students of 1st ,2nd and 3rd year. I taught Ancient and Modern Indian history there.I have taught in another school in Mohali,Punjab teaching students from classes 9-12.Presently I am working as an online tutor with concept tutors,Bangalore,India(Carve Niche Pvt.Ltd.) for the last 1year and also have been appointed as an online history tutor by Course Hero(California,U.S) and Vidyalai.com(Chennai,India).
4.00+
2+ Reviews
10+ Question Solved
Related Book For
Fundamentals of corporate finance
ISBN: 978-0470876442
2nd Edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
Question Posted:
Students also viewed these Corporate Finance questions
-
A retailer estimates her fixed cost for placing an order at $ 1,000. Currently, she orders in optimal quantities of 400 units. She has, however, heard of the benefits of just- in- time purchasing a...
-
The day after Thanksgiving-called Black Friday-is one of the largest shopping days in the United States. Winthrop University researchers conducted interviews with a sample of 38 women shopping on...
-
The Readers Digest Association, Inc. , one of the largest publishers of magazines in the world, had unearned revenues of $340.4 million on its March 31, 2012, balance sheet. The company showed $244.6...
-
Think about someone you know who is an entrepreneur. What are the advantages of owning their own business? What are the disadvantages? Why did they start their business? What method did they use to...
-
Is "cost-of-goods sold" an expense?
-
James Felon is a self-employed surfboard maker in 2020. His Schedule C net income is $126,503 for the year. He also has a part-time job and earns $20,900 in wages subject to FICA taxes. Calculate...
-
To emphasize the importance of blocking, reanalyze the cleanness data Example 7 as a one-way classification with the 4 detergents being the different treatments.
-
Perke Corporation purchased 80% of the stock of Superstition Company for $1,970,000 on January 1, 2012. On this date, the fair value of the assets and liabilities of Superstition Company was equal to...
-
A cannon is fired with muzzle velocity of 158 m/s at an angle of elevation = 46. Gravity = 9.8 m/s 2 . a) What is the maximum height the projectile reaches? b) What is the total time aloft? c) How...
-
What are the advantages and disadvantages of promoting decentralization in GMs operations in China?
-
Morgan Sports Company just reported the following financial information. a. Calculate the firm's days' sales outstanding. b. What is the firm's days' sales in inventory? c. What is the firm's days'...
-
Tanzaniqe, Inc., sells $200,000 of its accounts receivable to factors at a 5 percent discount. The firms average collection period is 90 days. a. What is the dollar cost of the factoring service? b....
-
What are the different types of assets on a banks balance sheet?
-
The circuit of Fig. 3.5B is used 8 times over to connect 8 switches to 8 mbed digital input. The pull-up resistors have a value of 10 k and are connected to the mbed supply of 3.3 V. What current is...
-
Is it possible to display unambiguously all of the capitalized alphabet characters A, B, C, D, E, and F on the seven-segment display shown in Fig. 3.11? For those that can usefully be displayed,...
-
If in Fig. 3.12 a segment current of approximately 4 mA was required, what value of resistor would need to be introduced in series with each segment? to 7-segment display pins 3,8 pin 7, seg. a pin...
-
Complete Table 3.6, converting between the different number types. The first row of numbers is an example. Table 3.6: Number conversion practice. Hexadecimal SE Binary 0101 1110 1101 1101 1100 1001...
-
A student uses the code below in a continuous loop to generate a 200 Hz square wave, noting the period of 200 Hz is 5 ms. He is then surprised to measure a frequency of 250 Hz. Explain why this is...
-
Why is economics central to an understanding of the problems of development?
-
F.(3e* -2x 3 sin(2x)) is equal to 2 3 Cos 8. IT 3, t (4+@ 2 3, 1+o 1 4 Cos 4 4 1 3. 1 +4cos V7 (1+o 4 1 4 Cos 4 1+0 4-
-
Describe the education and training needed to become a research scientist.
-
In April 2013 a pound of apples cost $1.41, while oranges cost $1.05. Four years earlier the price of apples was only $1.20 a pound and that of oranges was $.91 a pound. a. What was the annual...
-
An engineer in 1950 was earning $6,000 a year. Today she earns $60,000 a year. However, on average, goods today cost 8.8 times what they did in 1950. What is her real income today in terms of...
-
Your consulting firm will produce cash flows of $100,000 this year, and you expect cash flow to keep pace with any increase in the general level of prices. The interest rate currently is 6%, and you...
-
Calculating Present Values Imprudential, Inc., has an unfunded pension liability of $645 million that must be paid in 25 years. To assess the value of the firm's stock, financial analysts want to...
-
Describe the operating activities of each company noting similarities and difference between COCA COLA & PEPSICO. Identify two economy wide factors and industry wide factors that could impact on the...
-
The trial balance for a company listed the following account balances at December 31, Year 1, the end of its fiscal year: cash, $36,000; accounts receivable. $31,000; Inventory, $45,000; equipment...
Study smarter with the SolutionInn App