Question: 6. Torque Manufacturing forecasts that its production will require 600,000 tons of bauxite over its planning period (365 days). Demand for Torque's products is stable

6. Torque Manufacturing forecasts that its production will require 600,000 tons of bauxite over its planning period (365 days). Demand for Torque's products is stable over time. Ordering costs amount to an average of $15 per order. Holding costs are estimated at $1.25 per ton of bauxite. The EOQ for Torque is _____ tons.

7. Following Question 6, what is the total annual cost of inventory?

8. Following Question 6, if it takes 7 days to receive an order from suppliers, at what inventory level should anther order be replaced?

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 Accounting Questions!

FIN 644 1) Consider the following balance sheet and income statement data for Landmark International, figure out the cash profit of the company: Balance Sheet 12/31/03 Balance Sheet 12/31/04 Cash...

1) An increase in days sales outstanding (DSO), all other things equal, would ________ the cash conversion period and reflect _________ liquidity. a) increase, increased b) increase, decreased c)...

1. Use the following information to determine the implied fixed inventory ordering costs EOQ- 83.67 units Demand 350 units Holding Costs- $3.00 Torque Manufacturing forecasts that its production will...

Torque Manufacturing forecasts that its production will require 600,000 tons of bauxite over its planning period (365 days). Demand for Torque's products is stable over time. Ordering costs amount to...

6. Torque Manufacturing forecasts that its production will require 800,000 tons of bauxite over its planning period (365 days). Demand for Torque's products is stable over time. Ordering costs amount...

question 8 7. What is the 2001 sustainable growth rate? 8. Torque Manufacturing forecasts that its production will require 500,000 tons of bauxite over its planning period. Demand for Torque's...

The following financial data are to be used for questions 3-7: 2000 2001 Cash & equivalents $25 $75 Accounts receivable $450 $700 Inventory $400 $500 Gross Fixed assets $1,000 $1,000 (Accumulated...

Torque Manufacturing forecasts that its production will require 600,000 tons of bauxite over its planning period. Demand for Torque's products is stable over time. Ordering costs amount to an average...

Torque Manufacturing forecasts that its production will require 500,000 tons of bauxite over its planning period. Demand for Torque's products is stable overtime. Ordering costs amount to an average...

Smith buys 100 shares of stock ABC at the same time Brown buys 100 shares of stock XYZ. Both stocks are bought for 10 per share. Smith receives a dividend of .80 per share, payable at the end of each...

Better Bottles, Incorporated uses a periodic inventory system and has provided its current inventory information The Controller has asked you to prepare a comparison of the Ending Inventory and Cost...

Which of the following is a risk associated with debt financing? a ) Dilution of ownership b ) Fixed interest payments c ) Loss of control d ) Higher dividend payments

SIMAD UNIVERSITY Class: BACC25 Subject: Islamic Accounting Instructions: a) Follow The Instructions. Midterm Exam Instructor: All Ibrahim Date: 6-4-2022 b) You Have 1.5 Hrs. To Complete This Test. c)...

(Appendices) COMPONENTS OF COST OF GOODS SOLD. Annas Corner Store has the following data for a recent year. LO9

(Appendices) TERMS OF SHIPMENT AND ENDING INVENTORY. On December 31, Archive Products had two shipments of merchandise in transit from different suppliers. The first shipment, which arrived on...

(Appendices) PURCHASES, SALES, AND COST OF GOODS SOLD. The following data were available for Jeans Inc., a seller of denim clothing, at January 1 of a recent year: Jeans Inc. records purchases and...