Question: 32) Based on the given this information. Annual demand = 5,000units, unit price = $20, order cost per order = $16, storage rate = 2%

32) Based on the given this information. Annual demand = 5,000units, unit price = $20, order cost per order = $16, storage rate = 2% per annum, interest rate = 12% per annum and obsolescence rate = 6% per annum. Find out the number of order

Select one:

a. 16 units.

b. 25 units.

c. 35 units.

d. 15 units.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Annual demand 2,400 units, Unit price $2.400, Ordering cost per order $4.000, Storage cost 2% per annum, Interest rate 10% per annum. Calculate Economic Order Quantity.

(1) = COMPUTE E.O.Q. and the total cost for the following: Annual Demand 5,000 units Unit price 20.00 Order cost 16.00 Storage rate 2% per annum Interest rate 12% per annum Obsolescence rate 6% per...

Question (20 marks) Based on the net present value (NPV) method, should HK expand into the production of motor vessels? Background Heavy Keele Ltd. (HK) has a long-standing reputation as a...

KUALA LUMPUR: HIL Industries Bhd has expanded its face masks product range to include surgical-grade masks with anti-viral and filtration efficiency to remove over 99.9% of virus and air- bome...

BU45? Winter 2021 Case Assignment #2 Canadian Valve Company Canadian Valve Company (CVC) manufactures three types of industrial valves: ow-control valves, pressure-control valves, and custom valves....

FILL IN THE CORRECT TERMINOLOGY IN THE BLANK SPACE GIVEN 1 Electronic commerce from business to consumer 2 The level of sales at which revenue equals total cost and net income is zero. 3 A measure of...

KUALA LUMPUR: HIL Industries Bhd has expanded its face masks product range to include surgical-grade masks with anti-viral and filtration efficiency to remove over 99.9% of virus and air- bome...

1. Prepare Cost Sheet from the following. Direct Material Direct Labor Direct Expenses Factory Overheads Office and Administration Overheads Selling and Distribution Overheads RO 160000 52000 19000...

Peters of Persia sells fabric to a wide range of industrial and consumer users. One of the products it carries is denim cloth, used in the manufacture of jeans and carry bags. The supplier for the...

Consider the single-sampling plan found in Exercise 7.4. Suppose that lots of are submitted. Draw the curve for this plan. Draw the curve and find the . In exercise 7.4 Find a single sample-sampling...

What are the general rules for measuring and recognizing gain or loss by both the debtor and the creditor in a troubled debt restructuring involving a modification of terms?

What are the features of double entry system ?

Which of the following are problems with identifying users of ABC? Multiple select question. ABC means different things to different organizations. Organizations will announce the discontinuance of...

Technology.Teamwork. Select ten traditional and ten behavioral interview questions from this chapter or from Internet research. Thoughtfully consider how you would respond to the questions you chose...

Teamwork. Global. Form groups of three or four students.Each group will choose two countries from the following list: Japan,Mexico, Germany, Australia, Russia, India, or China. If you were...

Would you follow a direct or an indirect plan in writing a letter accepting employment? Explain your answer. (Objective 4)