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1.For the following scenario, find the order point (R) needed to provide 95% service level:
Average daily demand = 29 units. Standard deviation of daily demand = 5.7 units. Lead time = 3 days (constant).
Be sure to display any important intermediate calculations necessary to find your answer.
2.How much safety stock is being carried in the policy you found above?
3. Suppose instead we decide to carry 20 units of safety stock. What order point (R) will be required? What is the predicted service level under this policy? SHOW YOUR WORK AND ANY IMPORTANT INTERMEDIATE VALUES.
Determine the interest expense that Coley Co. will show with respect to these bonds in its income statement for the fiscal year ended September 30, 2009, assuming that the discount of $360,000 is amortized on a straight-line basis.
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Prepare a chart that shows the relationship of the bond's price to your required return and use a range of 0% to 15% with 0.5% increments in calculating the prices.
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Jake Marley is negotiating with bank for a $200,000, 90-day 12 percent loan effective July 1 of the current year. If the bank accept the loan, the proceeds will be $194,000,
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