User Account

All Pages

How many orders will be placed per year

Assignment Help Managerial Accounting
Reference no: EM132693319

An automobile manufacturer uses about 60,000 pairs of bumpers (front bumper and rear bumper) per year, which it orders from a supplier. The bumpers are used at a reasonably steady rate during the 240 working days per year. It costs $3.00 to keep one pair of bumpers in inventory for one month, and it costs $25.00 to place an order. A pair of bumpers costs $150.00.

Question a) Write the annual carrying cost function.

Question b) Write the annual ordering cost function.

Question c) Write the annual total cost function.

Question d) What is the EOQ?

Question e) What is the significance of the EOQ?

Question f) What is the total annual expense of ordering the EOQ every time?

Question g) How many orders will be placed per year?

Question h) What is the total annual expense of ordering 600 pairs of bumpers every time? How much is saved per year by ordering the EOQ?

Reference no: EM132693319

Questions Cloud

What would use use for and provide return on investment : After 3 months on the job, you have now been tasked. What would you use use it for and would it provide a positive return on investment?
Question - CALCULATION OF BOOK VALUE : Question - CALCULATION OF BOOK VALUE - Using the straight-line depreciation method, calculate the book value as of December 31, 20--
What is your role as a nurse in healthcare information : What is your role as a nurse in protecting patient healthcare information? APA style with a minimus of 3 references. In-text citations needed.
How much is the ending balance of cash and notes payable : Addy had a cash balance of P20,000 and a note payable of P15,000. How much is the ending balance of cash, notes payable and notes receivable
How many orders will be placed per year : What is the total annual expense of ordering 600 pairs of bumpers every time? How much is saved per year by ordering the EOQ?
Estimate the reading level of a content area text : Use the Fry readability graph to estimate the reading level of a content area text - Indicate the grade levels and the content areas of the texts you used
Prepare general journal entries on June : The current income tax expense for the year ended 30 June 2013 is $8400000 and tax rate is 30%. Prepare general journal entries on June
How holiday would report a cost variance of : Holiday Company prepares packed lunches for hikers. If the company used a static budget for performance evaluations, Holiday would report a cost variance of?
Read marketers need to stop focusing on loyalty : Read Marketers Need to Stop Focusing on Loyalty and Start Thinking About Relevance by Zealley et al.

Reviews

Write a Review

Managerial Accounting Questions & Answers

  How does decreased communication contribute to conflict

How does decreased communication contribute to conflict in a negotiation?? What is the best strategy for resolving conflict in a negotiation?

  Calculate expected returns and expected standard deviations

Calculate the expected returns and expected standard deviations of a two-stock portfolio having a correlation coefficient of 0.70

  What the grid should

ABC Company has offered to sell 10,000 units of the same part to Grid Corporation for $36 per unit. Assuming there is no other use for facilities, Grid should

  Discuss exist between the three types of service entities

Discuss exist between the three types of service entities.Discuss in which human reactions to budgets can have a negative impact on organisational performance.

  Discuss ways in which striking furs can protect itself

Discuss ways in which Striking Furs can protect itself against the losses that would arise from a sudden increase in the foreign exchange rate.

  Create a company analysis of steven madden ltd

Create a company analysis of Steven Madden Ltd. - Identify the specific methods Steven Madden is using to enable their strategy.

  Net realizable value method-decision to sell at split-off

Pacheco, Inc., manufactures two products, overs and unders, in single process. The joint costs of this process were $50,000, and 14,000 units of overs and 36,000 units of unders were produced.

  Explain distinction between product costs and period costs

Explain the distinction between product costs and period costs and why distinction important? Distinguish between management accounting and Financial accounting

  Prepare contribution format income statement for month

Prepare contribution format income statement for the month using variable costing. Prepare income statement for the month using absorption costing.

  Find what fixed manufacturing overhead volume variance

Find What is the fixed manufacturing overhead volume variance in this period? is it favorable or unfavorable.Yama Industries builds playground equipment

  What would be the total cost to be accounted

During the month, the cost of units transferred out from the department was $410,000. In the department's cost reconciliation report for February, the total cost to be accounted for would be.

  How do explain the accounting requirements for the proposed

How do explain the accounting requirements for the proposed investment. In particular you should explain how the profit of Queen Ltd would be recognised

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