What will be the total inventory carrying cost

Assignment Help Macroeconomics

Reference no: EM132138895

Question - Given:

Setup Cost for a production equipment-$625/ setup

New setup cost -$25 per setup for a lot size of 100.

Based on the data given above, answer the following questions.

i. What was the lot size for the old setup?

ii. What will be the setup cost for an economical lot size of 10?

iii. If the demand rate is 6,000 units, what was the inventory carrying cost per unit per year with the old setup?

iv. If the inventory carrying cost per unit per year is reduced to $12, what will be the total inventory carrying cost/year with the new setup cost of $25?

v. What will be the setup cost per year with the new setup?

Reference no: EM132138895

Questions Cloud

Analyze how prevalent delinquency is among adolescents : Analyze how prevalent delinquency is among adolescents. Identify and examine what theory best explains juvenile delinquency.

Can adam argue constructive discharge in this instance : Can Adam Upp sue Walexron for employment discrimination? Can Adam argue constructive discharge in this instance? Why or why not?

Define how much money will be in the account : Your electronics company has the potential to make a profit of $1,000,000 per year for 10 years. If the company puts all of this money in a bank account.

Multinational strategy and transnational strategy : Do you think it would make better strategic sense to employ a multinational strategy, a transnational strategy, or a global strategy?

What will be the total inventory carrying cost : If the inventory carrying cost per unit per year is reduced to $12, what will be the total inventory carrying cost/year with the new setup cost of $25

Should direct-to-consumer advertising be banned : Should Direct-to-Consumer Advertising be banned in the United States? Why or Why Not?

What the auctioneer knows before and after the auction : The English and the Vickrey auction are strategically equivalent, and the revenue for the seller is the same. Yet, in terms of the information received.

True concerning performance bonuses : Which of the following is not true concerning performance bonuses? A common advantage of group incentives is that.

What are the key considerations when filing cargo claim : What are the key considerations when filing a cargo claim? What are the three ways to address people’s resistance to change?

User Account

All Pages