Determine the proper order size

Reference no: EM132679917

A material is purchased for P3 per units. Monthly usage is 1,500 units, the ordering cost is P50 per order, and the annual carrying cost is 40%.

Question (1) Compute the EOQ.

Question (2) Determine the proper order size if the material can be purchased at a 5% discount in lots of 2,000 units.

Reference no: EM132679917

Questions Cloud

Examine few annual financial statements for financial year : Examine a few annual financial statements for the financial year 2019 of companies listed in the Singapore Exchange (SGX), and prepare a report

Which the discounted cash flow vs venture capital models : Which are differences between the discounted cash flow and venture capital models of valuation? The Venture Capital Model ignores ongoing cash flows

What amount should appear in the group consolidated : On 1 January 2015, What amount should appear in the group's consolidated balance sheet at 31 December 2017 for accumulated profits?

Prepare the journal entries to update depreciation to july : Prepare the journal entries to (a) update depreciation to July 31, 2017, and (b) record the sale of the equipment. (Credit account titles are automatically)

Determine the proper order size : A material is purchased for P3 per units. Determine the proper order size if the material can be purchased at a 5% discount in lots of 2,000 units.

Describe workers compensation : Describe workers' compensation and explain why it is important. Also, research the state of Maryland worker's compensation requirements.

What is the amount of fica tax that will be withheld : What is the amount of FICA tax that will be withheld from? Bill's pay?? (Assume a FICA-OASDI Tax of 6.2?% and FICA-Medicare Tax of 1.45?%.)

Find how should nancy corporation account forfeited payment : Find how should Nancy Corporation account for the $100,000 forfeited payment? Eddie Corporation forfeits payment and is entitled to no further consideration.

Which type of stock results in more total? paid-in capital : Which type of stock results in more total? paid-in capital? Record issuance of the stock if the? stock has stated value of ?$2 per share.

User Account

All Pages