A company has an annual demand of 16,000 products. The products cost 2 TL each. Ordering and transport costs amount to 200 TL per order. The annual cost of holding one product in stock is estimated to be 1.20 TL. Assume that the company adopts the EOQ as its order quantity and it has to have half of the EOQ as inventory on hand when an order is placed. How many weeks does it take for an order to be delivered to the company? (1 year = 52 weeks)

6- Suppose that a company is about to decide on a replacement investment. The old machine on hand was purchased two years ago for 65,000 TL. Straight-line depreciation is employed for the old machine where useful life is 5 years. The current market value of the old machine is determined as 23,000 TL. The new machine that will replace the old one would cost 140,000 TL excluding 4,000 TL shipping and 2,000 TL installation costs. The acquisition of the new machine will increase accounts receivable by 9,000 TL, the inventory by 13,000 TL, and accounts payable by 15,000 TL. The corporate tax rate is 30%. What would be the initial investment outlay?

7- In a capital project, an old machine, which was purchased at a cost of 600.000 TL 3 years ago and had a useful life of 5 years will be sold now at a price of 300.000 TL. The machine also had a salvage value of X. The company applies accelerated depreciation method. Tax rate is 40%. In order to produce a net disposal cash inflow of 269.472 TL, what should be the X?

Answer rating: 100% (QA)

6 To calculate the Economic Order Quantity EOQ we first find the EOQ using the EOQ formula EOQ sqrt2... View the full answer