What are the economic order quantity and cycle length

Assignment Help Finance Basics
Reference no: EM131426608

The demand for an item is constant at 100 units a year. Unit cost is £50, the cost of processing an order is £20 and holding cost is £10 a unit a year. What are the economic order quantity, cycle length and costs?

Reference no: EM131426608

Questions Cloud

Determine marc optimal shipping quantities : Determine Marc's optimal shipping quantities so as to minimize total transportation costs: Formulate the LP problem. Solve the Primal LP in Solver, print answer and sensitivity report.
What are the equilibrium price and quantity of frisbees : A recent study found that the demand and supply schedules for Frisbees are as follows: What are the equilibrium price and quantity of Frisbees? A concerned Congress votes to impose a price floor $2 above the equilibrium price. What is the new market..
Explain how an organizations culture affects performance : Write a 3+ page, double-spaced, paper exploring how an organization's culture affects performance. Discuss individualism vs. collectivism, power distance, uncertainty and risk avoidance strategies, and achievement vs. nurturing orientation.
What can be done to improve these products : Despite the attention paid to quality management, many products still do not meet acceptable standards. Give some examples of products that you think are unsatisfactory. Why is this? What can be done to improve these products?
What are the economic order quantity and cycle length : The demand for an item is constant at 100 units a year. Unit cost is £50, the cost of processing an order is £20 and holding cost is £10 a unit a year. What are the economic order quantity, cycle length and costs?
Whether there is any evidence to suggest data : Use the four methods presented in this section to determine whether there is any evidence to suggest the data are from a non-normal population.
Determine whether the samples are independent or dependent : Determine whether the samples are independent or dependent.The effectiveness of a new headache medicine is tested by measuring the amount of time beforethe headache is cured for patients who use the medicine and another group of patients who use a..
Do you see pricelines strategy as effective or ineffective : What are Priceline's internal strengths and weaknesses? Who are Priceline's competitors? Do you see Priceline's strategy as effective or ineffective? Why?
What is the best inventory policy for the component : The total cost of placing an order is £800 and holding costs are £400 a unit a year. What is the best inventory policy for the component? How does this compare with the option of making the component internally at a rate of 80 units a day?

Reviews

Write a Review

Finance Basics Questions & Answers

  Explain the implication the law of one price has for the

explain the implication the law of one price has for the price of a financial security. provide

  Explain the differences in potential risk and return

Duve, Inc. desires to penetrate a foreign market with either a licensing agreement with a foreign firm or by acquiring a foreign firm. Explain the differences in potential risk and return between a licensing agreement with a foreign firm and the acqu..

  Two types of accounts receivable systems

All of the following statements are true, except: 1) The two types of accounts receivable systems discussed in the text are the balance-forward and open-item systems.

  Two main payment methods in acquisition offers

What are the two main payment methods in acquisition offers? -  How large is the typical acquirer relative to the typical target?

  What is the firms total corporate value

Ryan Enterprises forecasts the free cash flows (in millions) shown below. The weighted average cost of capital is 13.0%, and the FCFs are expected to continue growing at a 5.0% rate after Year 3.

  Three ratios from the activity ratios

Your responsibility will be to do three ratios from the Activity Ratios. The three being: Inventory Turnover, Accounts Receivable Turnover, and Total Asset Turnover. Either by downloading the financial report from the Walt Disney website, or on the N..

  Why is earnings per share not a consistently good measure

Why is earnings per share not a consistently good measure of a firm’s performance?

  What is the required rate of return

a. If the firm pays out all of its annual earnings as dividends, what will be the dividend paid per share? b. What is the required rate of return (demanded by shareholders of this firm) implied by the current market price?

  How is the company positioned relative to the competition

Review the Stafford Library Guide for tips on navigating the database. How is the company positioned relative to the competition? Is the company's competitive advantage sustainable?

  Which of the following statements regarding mortgage-backed

Which of the following statements regarding mortgage-backed securities (MBS) and collateralized mortgage obligations (CMOs) is most correct.

  What will be the size of the di after the drain if the di

If the interest cost of issuing new short-term debt is expected to be 7.5 percent, what would be the effect on net interest income of offsetting the expected deposit drain with an increase in interest-bearing liabilities?

  Precise machinery is analyzing a proposed project the

precise machinery is analyzing a proposed project. the company expects to sell 2300 units give or take 5 percent. the

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd