Find the total inventory cost per computer

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Reference no: EM132297332

Dell Computer Inc. bought $750 of materials from its vendor for a particular order of 5 computers. To deliver this particular order, the Dell driver needs to stop in 5 different places to cover a total distance of 300 miles, the cost per stop is $0.43 and cost per mile is $0.25 since it is using UPS service for delivery. Marginal cost per stop is $0.25, fixed cost for handling a pallet of computers (pallet size=5) is $10 and the variable cost of handling the same pallet is $7.00. Find the total inventory cost per computer if Dell holds its inventory on a average of 1 month at $0.5/year every $1.00 of inventory.

Reference no: EM132297332

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