User Account

All Pages

Determine the optimal size of the orders of salamis

Assignment Help Accounting Basics
Reference no: EM133114504

Question - A distributor sells salamis in Silicon Valley. The salamis cost $1.85 each. The cost of tracking and receiving the orders cost $100. Holding cost is $1/unit/week. The distributor sells an average 100 salamis per week (5 days/week).

1. Determine the optimal size of the orders of salamis.

2. What is the optimal time between two successive placements of orders?

3. What is the average fixed order cost per week?

4. What is the optimal inventory cost (without variable cost)?

5. If you set Q = √2EOQ, what is the inventory-related cost (without variable cost)?

6. If you set Q = EOQ/ √2, what is the inventory-related cost?

7. What can you conclude based on (e), (f)?

8. If the minimum order quantity by the vendor is 10% higher than your EOQ, what should you do and why?

Reference no: EM133114504

Questions Cloud

What is the npv in basic assumptions : You are responsible for evaluating the new investment project. The cost of the project is $ 500,000 and will have a lifespan of 5 years. Damping is linear up to
Explain the debt-to-equity ratio : The ratio of total assets to sales is constant at 1.5 and the profit margin is 10%. What should the debt-to-equity ratio be?
Contrast mobile applications vs websites : Compare and Contrast mobile applications vs websites. Research and discuss the importance of developing a mobile strategy.
Volatility of the minimum-variance portfolio : The following table shows risk and return measures for Coca-Cola and Intel.
Determine the optimal size of the orders of salamis : The salamis cost $1.85 each. The cost of tracking and receiving the orders cost $100. Holding cost is $1/unit/week. Determine the optimal size of the orders
What is the bank duration gap : Suppose Smithfield Bank has the following balance sheet. Answer the following two questions (and show your work to the extend possible).
Percentage of the portfolio : The correlation between the assets is -1. What percentage of the portfolio should be invested in each asset to eliminate risk?
How much would you need to invest today : It will cost approximately $15,275 to fully renovate your kitchen. How much would you need to invest today to have enough money
Mobile app developers target the android platform : Besides cost, why should mobile app developers target the Android platform? Describe key ingredients needed to create mobile applications on the iOS platform.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Prepare a summary journal entry for revenue recognition

Wild willy sandwich shop sell sandwiches throughout the country. Wws customers can sign up for a reward card that allows them to receive a free sandwich.

  Compute the carrying value of the patent at december

Kermit incurred $120,000 to purchase the franchise of a fast food restaurant on September 1, 2019. Compute the carrying value of the patent at December

  Find the total cost to be assinged to the ending work

If all materials are added at the beginning of the process, the total cost to be assinged to the ending work in process is

  What total monthly sales revenue is required to break even

malibu corporation has monthly fixed costs of 69000. it sells two products for which it has provided the following

  Calculate Upward and Onward UBIT

Calculate Upward and Onward UBIT. Assume that the sale of the training program products is substantially related to Upward and Onward's exempt purpose

  What is the amount of the gain or loss on the sale

Par sold 11.97% of its Sub shares on the open market for $65,955. What is the amount of the gain or loss on the sale of the shares on the next day

  Calculate the direct labor rate and efficiency variances

During the year, a total of 24,800 direct labor hours were worked. Calculate the direct labor rate and efficiency variances

  Prepare a production cost report for welding department

Prepare a production cost report for the Welding Department for the month of February.

  How the financial statement items would be affected

Question - Capitalize versus Expense - indicate how the following financial statement items would be affected: Cash flow from operations

  How does medical home help ge recruit and retain customers

How does the medical home help GE recruit and retain customers? Is it just about lowering this expense or is there something else going on here?

  What would happen to break-even point-labor costs increased

During the third year of operations, Big Al’s estimates that 415,000 pizzas (385,000 meat and 30,000 veggie) will be produced. Compute the break-even point in year 3 for Big Al’s pizzas. How many veggie and meat pizzas must be sold in order to break ..

  How the appearance of solvency for a business changes

Evaluate how the appearance of solvency for a business changes when using cash vs. accrual accounting

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