User Account

All Pages

Determine the number of orders to be placed each year

Assignment Help Accounting Basics
Reference no: EM132618280

Questions -

Q1. Cool Kids annual sales amount to 300 000 units. Orders are placed in multiples of 100 units. The purchasing price is R1 per unit. The carrying cost of inventory equals 25% of the purchase price of goods. The ordering cost is R20 per order. Three days are required for delivery. The desired safety stock for the firm is 10 000 units. This amount is on hand.

Required -

Calculate the EOQ for Cool Kids.

Determine the number of orders to be placed each year. (Assume a 360 day year).

Determine the re-order point for inventory.

Q2. The following data was extracted from the company statements of Up Jean Ltd, a clothing retail outlet for the year ended 31 March 2019:

Credit purchases R330 000

Credit sales R590 000

Opening stock R87 500

Closing stock R75 000

Debtors R98 500

Creditors R41 000

Required -

Calculate the length of the working capital cycle by making use of the ratios, days stock on hand (inventory); debtors collection period (receivables) and creditors (payables) settlement period.

Reference no: EM132618280

Questions Cloud

What does deegan mean by this statement : What does Deegan mean by this statement? Do you agree with Deegan, or do you think conceptual frameworks exist for other reasons? Justify your position
Develop statement of business ethics code of ethics : Develop a statement of business ethics, "code of ethics," for your startup company.
Major forms of business organizations : What are advantages and disadvantages of each of the major forms of business organizations (sole proprietorship, partnership, and corporation)?
What is agency relationship : What is agency relationship? In relation to agency relationship, agency problems, and agency costs, why is corporate governance important?
Determine the number of orders to be placed each year : Determine the number of orders to be placed each year. (Assume a 360 day year). Determine the re-order point for inventory
What is the primary goal of firms and managers : What is the primary goal of firms and managers? Is profit maximization the primary goal of firms? Why or why not?
Testing for cointegration and modelling cointegrated systems : Compare and contrast the Engle-Granger and Johansen methodologies for testing for cointegration and modelling cointegrated systems.
Evaluating trends and predicting the business environment : You believe are important for organizations to consider when evaluating trends and predicting the business environment in future years.
Afn equation to forecast broussard additional funds : Broussard Skateboard's sales are expected to increase by 20% from $7.4 million in 2019 to $8.88 million in 2020.

Reviews

Write a Review

Accounting Basics Questions & Answers

  List the strengths and weaknesses of the budgeting and

1. list the strengths and weaknesses of the budgeting and control system at madden international.2. why might you

  Explain the role of international accounting standards board

Explain the role of International Accounting Standards Board (IASB) in harmonization. How is the board created

  In 2010 margaret and john murphy are married tax payers

in 2010 margaret and john murphy are married tax payers who file a joing return with agi for 25000. during the year

  Identify specific fraud risk

Identify specific fraud risk present during PwC's audits of the Lipper hedge funds. Explain how Pwc should have responded to the fraud risk factors that you identified.

  Which credit terms is the most advantageous to the purchaser

Which of the credit terms is the most advantageous to the purchaser of merchandise? 1/10, n/30./ 5/10, n/60./ 2/10, n/30./ 5/10, n/20.

  Compute operating income using traditional costing system

Ayala Inc. has conducted following analysis related to its product lines, For each product line, compute operating income using the traditional costing system

  Analyst figure that out just from the cash flow statement

Considering leverage is usually a balance sheet account, how did the analyst figure that out just from the cash flow statement

  Determine whether roper should be hired

Roper wants a fee of $1 million. Determine whether Roper should be hired, the strategy Mogul should follow if Roper is hired, and the expected value.

  Compute tax calculation under averaging

Complete the statement showing Rikki's tax payable for the 2017/18 tax year including any averaging adjustment. Compute Tax calculation under averaging

  Compute the adjusting entry required on december

Harrod Company paid $4,800 for a 4-month insurance premium in advance on November 1, Compute the adjusting entry required on December 31

  Why is the budget a far more important document for both

why is the budget a far more important document for both government and not-for- profits than for

  Companys suta tax rates based on its experience ratings are

companys suta tax rates based on its experience ratings are 3.2 in louisiana and 3.8 in florida. the taxable wage

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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