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1. Garden Variety Flower Shop uses 1000 clay pots a month. The pots are purchased at $3 each. Annual carrying costs per pot are estimated to be 25% of cost, and ordering costs are $25 per order. a. Determine the economic order quantity. b. Compute the total cost of ordering and carrying clay pots. c. If the manager has been using an order size of 2,000 pots, how much can be saved per year by improving the inventory policy?
Rocky Mountain Tire Center sells 20,000 go-cart tires per year. The ordering cost for each order is $40, and the holding cost is 20% of the purchase price of the tires per year. Th
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From the e-Activity, discuss ways the company you researched could benefit (or more likely already is benefitting) from robust materials requirement planning. Provide specific exam
An analyst must decide between two different forecasting techniques for weekly sales of roller blades: a linear trend equation and the naive approach. The linear trend equation is
1. What is meant by the level of threshold service of a least-cost system?
Briefly describe McDonald's value chain and discuss how information systems facilitate each component in the chain. How could information technology improve your next trip to McDon
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Debt: Jones Industries borrows $600,000 for 10 years with an annual payment of $100,000. What is the expected interest rate (cost of debt)? Internal common stock:
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