Compute the economic order quantity for wonderlust

Assignment Help Accounting Basics
Reference no: EM132534114

Question - The Wonderlust Retail Company Ltd experiences relatively constant demand of 24 000 units per year for one of its products. The product, a coffee-making machine, costs the firm $30. Placing an order costs $200 and annual carrying costs are $2 per unit. The firm works 200 days per year and desires a safety stock of 300 units. The lead time for an order is 15 working days. Compute the economic order quantity for Wonderlust?

A. 1549.

B. 3098.

C. 2191.

D. 2221.

Reference no: EM132534114

Questions Cloud

Describe the nature of the control process : Describe the nature of the control process. Identify its basic steps and the three basic methods of control. Explain how specific policies and procedures
Why companies use organization-wide communication : What are the two reasons why companies use organization-wide communication?
What the reason for some costs to be mixed in nature is : What The reason for some costs to be mixed in nature is? When minimal variable cost incurred even if facility is idle. Presence of sunk cost in cost structure
How do leaders deal with what may be a skills gap : Leaders do not necessarily portray all these characteristics. How do leaders deal with what may be a skills gap?
Compute the economic order quantity for wonderlust : The Wonderlust Retail Company Ltd experiences relatively constant demand of 24 000 units per year. Compute the economic order quantity for Wonderlust
Leadership style for all situations : What does management research say about who leaders are and what leaders do? What is the best leadership style for all situations and employees?
Select two decisions-one common to a manufacturer : Select two decisions-one common to a manufacturer and the other common to a service organization-and give two examples of irrelevant future costs
Hat is meant by the term "insider trading : Define what is meant by the term "Insider trading". What are the potential problems that arise from insider trading in the workplace, and what strategie
Calculate the present value of liability : XYZ Ltd issued $25 million of convertible notes on 1 July 2019. Calculate the present value of liability and equity component of convertible notes

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd