A manufacturer produces pencils, which it sells for $20 each. The production rate is 400 per day. The monthly demand for umbrellas is 2100 (and so usage per day is 70). The setup cost is $60 and the holding cost is $1 per pencil per month. What are:
a) The economic production quantity?
b) The average inventory level?
c) The total monthly holding cost?
d) The total monthly setup costs?

Answers

Answer 1

a) The economic production quantity is approximately 566 pencils.

b) The average inventory level approximately 50 pencils.

c) The total monthly holding cost is $50.

d) The total monthly setup costs are approximately $7.40.

a) To calculate the Economic Production Quantity (EPQ), we can use the formula:

EPQ = √((2DS)/H) * √(P / (P - D))

Where:
D = Demand rate per day (2100/month ÷ 30 days = 70/day)
S = Setup cost ($60)
H = Holding cost per unit per month ($1)
P = Production rate per day (400/day)
EPQ = √((2 * 70 * 60) / 1) * √(400 / (400 - 70))
EPQ ≈ 565.69
The economic production quantity is approximately 566 pencils.

b) To calculate the average inventory level, we can use the formula:
Average Inventory = (EPQ * D) / (2 * P)
Average Inventory = (566 * 70) / (2 * 400)
Average Inventory ≈ 49.55
The average inventory level is approximately 50 pencils.

c) To calculate the total monthly holding cost, we can use the formula:
Total Monthly Holding Cost = Average Inventory * Holding Cost
Total Monthly Holding Cost = 50 * 1
Total Monthly Holding Cost = $50
The total monthly holding cost is $50.

d) To calculate the total monthly setup costs, we can use the formula:
Total Monthly Setup Costs = (D * S) / EPQ
Total Monthly Setup Costs = (70 * 60) / 566
Total Monthly Setup Costs ≈ $7.40
The total monthly setup costs are approximately $7.40.

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Related Questions

39. When trying to sell a product or service to a customer, when the customer initially says "no", this
is called a(n) *
(2 Points)
O Refusal
o
Direct denial
Objection
O Pass

Answers

Answer:

A sales objection

Explanation:

A sales objection is any communication from a customer expressing unwillingness to make a purchase at that moment. It is when a customer turns down a sales proposal. A sale objection indicates that the customer is not ready to buy.

Sales objections are common in the selling process. They can be frustrating to salespeople. However, they are several techniques that companies and salespeople employ to overcome the disappointment caused by objections.


Imagine you are a market researcher who works for SaveSmart, a
discount insurance company. The company’s management has become
aware of some dissatisfaction among customers who have switched to
Save

Answers

As a market researcher at SaveSmart, a discount insurance company, the management has assigned me to investigate and address the dissatisfaction among customers who have switched to other insurance providers.

The goal is to understand the reasons behind their dissatisfaction and identify areas where SaveSmart can make improvements to retain customers and enhance overall customer satisfaction. To conduct this research, I would employ various methods such as surveys, interviews, and data analysis. Surveys can be distributed to the dissatisfied customers to gather their feedback and understand the specific issues they faced. Interviews can provide more in-depth insights and allow customers to express their concerns and suggestions. Additionally, analyzing customer data and comparing it with competitor offerings can help identify gaps in SaveSmart's services. Once the research is complete, the findings can be presented to the management along with actionable recommendations. These recommendations may include improving customer service, enhancing the claims process, offering additional coverage options, or providing competitive pricing. By addressing the concerns raised by dissatisfied customers and implementing appropriate changes, SaveSmart can work towards retaining existing customers and attracting new ones, ultimately improving customer satisfaction and loyalty.

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distribution requirements planning helps to synchronize supply chain partners at the a. primary storage level. b. secondary delivery level. c. primary schedule level. d. master schedule level.

Answers

The main answer is d. master schedule level. Distribution Requirements Planning (DRP) helps to synchronize supply chain partners at the master schedule level.

This means that DRP assists in aligning the production and distribution plans of various partners in the supply chain. It involves coordinating the timing and quantity of inventory replenishment to meet customer demand while minimizing excess inventory and stockouts.

In more detail, DRP works by analyzing customer demand data, considering lead times, and coordinating with suppliers to ensure the right amount of inventory is available at the right time and in the right location. It helps in managing the flow of goods from suppliers to manufacturers, and from manufacturers to distributors or retailers.

By operating at the master schedule level, DRP allows supply chain partners to make informed decisions regarding production levels, order quantities, and delivery schedules. It promotes better collaboration and coordination among partners, leading to improved efficiency, reduced costs, and enhanced customer satisfaction.

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ECONOMICS CHAPTER 2 SECTION 3

explain the relationship between the terms in each of these pairs
A. Private property rights and market
B. laissez-faire and capitalism
C. Specialization and profit
D. Factor market and product market

ECONOMICS CHAPTER 2 SECTION 3

Answers

Private property rights  and market is  in which people buy and sell resources or goods and services.

Private property rights are the rights of individuals and groups to own property and the market is any place or situation in which people buy and sell resources and goods and services.

Laissez-faire and capitalism-The relation-ship between laissez-faire and capitalism is laissez-faire is an economic philosophy of free-market capitalism that opposes government intervention.

Specialization and profit- The relation-ship between specialization and profit is the companies specialize in making one product or one component of a product, if this product will make at large scale, companies reduces it's cost to earn profit.

Factor market and product market-  The relation-ship between Factor market and product market is the factor market is running by the demand of product market. The product market is sold their goods and services with the demand of factor market to production these goods and services.

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2. what are the primary procedures used to audit cash balances? what significant inherent and control risks present at peregrine would impact the nature and extent of the procedures to be performed?

Answers

The primary procedures used to audit cash balances are listed as follows: 1. Confirm cash with banks. 2. Test bank reconciliations. 3. Analyze significant transactions. 4. Test controls over cash. The significant inherent and control risks that present at Peregrine and that would impact the nature and extent of the procedures to be performed include the following: Inherent risks are related to the company's inherent vulnerabilities. Control risks arise from a lack of internal controls.

The primary procedures used to audit cash balances are listed below:

1. Confirm cash with banks: It involves obtaining a bank statement or other confirmation from a third-party bank to confirm the accuracy of the cash balance recorded in the financial statements.

2. Test bank reconciliations: This procedure involves verifying that the cash balance recorded in the company's accounting records agrees with the bank balance listed on the bank statement.

3. Analyze significant transactions: It is essential to review significant transactions to see whether they were correctly recorded, such as wire transfers and check deposits.

4. Test controls over cash: Evaluating internal control procedures such as cash counting, check-to-sign, and reconciliations is necessary to determine whether the company's cash-related activities are appropriately monitored and regulated.

The significant inherent and control risks that present at Peregrine and that would impact the nature and extent of the procedures to be performed include the following:

Inherent risks are related to the company's inherent vulnerabilities. Peregrine's inherent risk could arise from a lack of segregation of duties, improper cash handling, inadequate reporting, etc.

Control risks arise from a lack of internal controls. Peregrine's control risks could arise from poor oversight and monitoring, inadequate financial reporting, ineffective internal auditing, etc.

The nature and extent of procedures to be performed would have to be adapted to address the identified risks. A thorough evaluation of the controls in place for cash, testing of their effectiveness, and a review of the transactions recorded are crucial to minimizing the potential risks.

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What is the marginal revenue and marginal cost for this diagram?

What type of market is this? Explain your answer

What is the marginal revenue and marginal cost for this diagram?What type of market is this? Explain

Answers

Marginal revenue :

2060120200300420560

Marginal cost :

108210192640

It is a Monopolistic market structure because marginal revenue is greater than the marginal cost.

Marginal Revenue is the increase in the revenue by selling one extra product in the market. It is calculated by the Change in revenue divided by the change in output.

Marginal cost is the change in cost by producing one extra unit of output. It is calculated by a change in cost divided by the change in units.

Monopolistic market structure is where there are multiple companies producing similar products in the market.Example for monopolistic structure can be a grocery store.

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On July 6, Clayton Corporation issued 3,000 shares of its $1.50 par per value common stock. The market price of stock on that day was $18 per share. Journalize the issuance of the stock.

Answers

The journal entry to record the issuance of 3,000 shares of common stock by Clayton Corporation on July 6 at a market price of $18 per share would be:

Debit: Cash = $54,000 ($18 x 3,000)

Credit: Common Stock = $4,500 ($1.50 x 3,000)

Credit: Additional Paid-in Capital = $49,500 ($18 - $1.50 x 3,000)

The journal entry shows that the company received $54,000 cash from the issuance of common stock, and recorded $4,500 as common stock at its par value of $1.50 per share, and the remaining $49,500 as additional paid-in capital.

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At any given hotel, one of the largest departments is housekeeping.


True


False

Answers

Answer:

True

Explanation:

True as there are other departments but the main one for a hotel would be housekeeping

Understand the difference between exclusive provider organization and point of service providers.

Answers

Flexibility is typically the most significant distinction between PPO and POS plans. At a higher cost, a PPO, or Preferred Provider Organization, gives you a lot of flexibility to see the doctors you want. Plans for Point of Service (POS) have lower prices but fewer options.

With limited coverage or reimbursement for out-of-network providers, a PPO offers greater flexibility. An EPO has fewer restrictions and provides less coverage or reimbursement for providers outside of the network. An EPO typically costs less than a PPO for members who are careful with their money.

How do EPO and HMO differ from one another?

The primary difference between an HMO and an EPO is that an HMO requires you to choose a primary care physician (PCP) to plan your medical care and refer you to specialists.If you have an EPO, you can talk to experts without getting a referral.

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which conditional formatting rule is best suited to highlight sales value greater than $5,000?

Answers

The conditional formatting rule that can be used in highlighting sales value than more than $5000 as regards this question is greater than.

Conditional formatting can be regarded as  feature in spreadsheet applications , which helps when there is a need to  apply specific formatting to cells that meet certain criteria.

In the case, of formatting rule for figures greater than $5,000, the the Greater Than sign is used to achieve this.

The greater-than sign is helps in denoting an inequality between two values

Other uses of formatting rule are to :highlightEmphasize

differentiate among data as well as  information stored in a spreadsheet

Therefore, conditional format helps in changing the appearance of cells

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You are really hungry and have been wanting to eat pizza all day. Instead of ordering a medium, you order a large. However, after about 4 slices, you don’t want anymore. This is an example of which factor?
Responses

diminishing personal value
diminishing personal value

substitutes
substitutes

buying power
buying power

diminishing marginal utility

Answers

The fact that you ordered a large pizza but after 4 slices, don't want anymore is an example of diminishing marginal utility.

What is diminishing marginal utility?

Diminishing marginal utility refers to an economic principle that talks about how the utility or satisfaction that a person gets from each additional unit of an item increases at first, and then decreases.

For instance, the person was really hungry and then ordered a large pizza to be satisfied. But as they ate more slices, they were satisfied less and less and eventually ended up wanting no more slices of pizza.

In conclusion, this is diminishing marginal utility.

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In an environment of rapid deflation, which inventory method would report the highest net income?
a lifo
b fifo
c average cost
d fish

Answers

In an environment of rapid deflation, LIFO inventory method would report the highest net income.

Net income is the entire amount of money that a person or company made over a specific time period after deducting taxes, costs, and interest. The LIFO inventory technique would indicate the largest net profitability in a situation of fast deflation.

A company's net income, which can also be referred to as "net profit," "net earnings," or simply "profit," calculates the profitability of the business. When a corporation has a net loss, it is the exact opposite of net income. Net income is the most significant figure in accounting after sales. You're likely on the correct track if your net income is rising.

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Keeping your _____and _____in mind will dictate what you say and how you say it.

Answers

what they said was correct!! i don’t think there is a need for me to repeat

What is the single most important factor in determining the success or failure
of a project?
O A. Communication
B. Schedule
C. Budget
D. Risk
SUBMT

Answers

Answer:

Answer Choice: A. Communication

Explanation:

Communication is the single most important factor in determining the success or failure of a project because the better you explain the project the higher your grade will be so, that will result in your grade being a A or a B so, that will cause you to pass, and the worst you explain the project the lower your grade will be so, that will result in your grade being a C or D or F (or an E depending on how your school grades) so, that will cause you to fail.

Answer:

here

Explanation:

What is the single most important factor in determining the success or failureof a project?O A. CommunicationB.

suppose that driven by waves of national pride, consumers across the world (including the united states) decide to buy home-produced products where possible. explain how the demand for and supply of us dollars would be affected. what can you say about the impact of the equilibrium dollar exchange rate?

Answers

When foreign demand for US goods decreases, then people buy less of USD products which can skew the equilibrium dollar exchange rate.

What is the equilibrium dollar exchange rate?

The long-term exchange rate that equates a currency's purchasing power parity (PPP) in a scenario where all items are traded and markets are fully functional is known as the equilibrium exchange rate. According to the "PPP theory of exchange rates," such convergence would indicate that similar price levels should be seen internationally. The exchange rate that balances supply and demand for a specific currency relative to another currency is known as the equilibrium exchange rate. The market is cleared at this price.

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A company’s perpetual preferred stock has a par value of $65 per share and it pays a dividend rate of 6.25% per year. The preferred stock’s market value is $58.63 per share and the company’s tax rate is 31%. If the flotation costs for preferred stock are 6.5%, what is the company’s annual cost of new preferred stock financing?

Answers

Answer:

Cost of preferred stock=7.41 %

Explanation:

A preferred stock entitles its investor to a fixed amount of dividend for the foreseeable future. The dividend payable by a preferred stock is similar to a perpetuity. Hence, the price of the stock would be the same as the present value of the dividend payable for the foreseeable future.

A preferred stock entitles its owner to a fixed amount of dividend. It is calculated as follows:  

Cost of preferred stock = D/P(1-f) × 100

D- Preference dividend

P- stock price

F- flotation cost

Preference dividend = Coupon rate × Nominal value

DATA

Nominal value = $65

Stock price = $58.63  

Dividend rate=6.25%

Flotation cost = 6.5%

Preference dividend = 6.25%× 65 = 4.063

Cost of preferred stock =(4.063 /58.63×(1-0.065) × 100 = 7.41  %

Cost of preferred stock=7.41 %

(03.02 LC)
Which of these might decrease the length of a mortgage loan?
Property taxes
O Insurance
O Amount owed
Collateral

Answers

Answer:

D.) Collateral

Explanation:

Tbh I'm not confident on this choice, but real estate basically is just a fancy term for property, for those who don't know. A collateral is a piece of property that can be sold by the lender to recover all or part of a loan if the borrower fails to repay. So with that being said, the only logical choice in my opinion would be D, or Collateral.

Collateral might decrease the length of a mortgage loan. As it minimises the risk for the mortgage loan.

What is mortgage loan?

Mortgage loan is the fund that is provided to the lender against the immovable assets or property, or collateral to the Borrower. The lender used to keep the assets until their loan is repaid by the person.

Thus, option C is correct.

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Which accurately describes the terms of this mortgage? Check all that apply.

Answers

Answer: 3, 4, 5.

3. Monthly payments must be made for 30 years.

4. The annual interest rate is 4.8 percent.

5. The homeowner is borrowing $200,000.

Explanation:

give me your best pickup line for brainliest

Answers

are you from alabama? because i’m very inter-cested in you tonight

Answer:

are u from Tennessee? cause ur the only 10 i see

if i said you had a good body would you hold it against me?

your lips look lonely. would they like to meet mine?

A worker at a landscape design center uses a machine to fill bags with potting soil. Assume that the quantity put in each bag follows the continuous uniform distribution with low and high filling weights of 13. 4 pounds and 15. 9 pounds, respectively. A. Calculate the expected value and the standard deviation of this distribution. (Do not round intermediate calculations. Round your "Expected value" to 2 decimal places and "Standard deviation" answer to 4 decimal places. ) b. Find the probability that the weight of a randomly selected bag is no more than 14. 6 pounds. (Round your answer to 2 decimal places. ) c. Find the probability that the weight of a randomly selected bag is at least 14. 1 pounds. (Round your answer to 4 decimal places. )

Answers

The expected value and the standard deviation of this distribution is explained below.

So, here, Let X =  the quantity of soil which is put in each bag.

The random variable X tends to follow a Uniform distribution.

Whereas, the range of the values of X are, [8.1, 13.1].

And the probability density function of X is:

fx(x) = 1/2 (a+b) = 8.1+13.1 / 2

=10.6

Then, Compute the expected value of X as follows:

E(X) = 1/2(a + b) = 8.1+13.1 / 2

=10.6

Thus, the expected value of X is 10.60.

Now we will compute the standard deviation of X as follows:

\(SD(X) = \sqrt{1/2 (b-a)^{2} } = \frac{5}{12}^{2} \\= 1.4434\)

Thus, the standard deviation of X is 1.4434.

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Training is a key element for an organization pursuing a commitment based hr strategy. .

Answers

The statement is True.

Training is a key element for an organization pursuing a commitment that is based on hr strategy.

Training is a vital element existing in an organization for the purpose of pursuing a commitment that is based purely on HR strategy. This course will use training for building knowledge, skill as well as attitudes so that employees can work quickly and flexibly as well without waste of time. In order to enhance the transfer of the learning program, training should have developed and delivered by those who are specialized in training.

Training along with development is one of the major functions included in the department of human resource management. It refers to a systematic order of setup where employees are instructed well to proceed further and taught technical knowledge-related matters on behalf of their jobs.

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The given question is incomplete, the correct question is :

Training is a key element for an organization pursuing a commitment-based hr strategy. True or false?

Tanya has recently been appointed CEO of a corporation that specializes in computer software. The corporation has made a substantial profit since she joined due to her emphasizing the importance of deadlines and sales goals to her software design team. Tanya is best described as what type of leader

Answers

Answer:

Transactional leader.

Explanation:

Leadership can be defined as a process which typically involves motivating, encouraging and inspiring employees working under an individual to be innovative and create positive changes that will foster growth and enhance the success of a business firm or company in the future.

This ultimately implies that, beyond an individual possessing the traits or qualities of a leader, leadership in itself is a process that revolves around the activities or happenings between the leader and those who he or she is leading, which are the followers. Thus, leadership is simply a continuous process and it's transactional in nature because it occurs between a leader and the followers.

In this scenario, Tanya has recently been appointed CEO of a corporation that specializes in computer software. The corporation has made a substantial profit since she joined due to her emphasizing the importance of deadlines and sales goals to her software design team. Thus, Tanya is best described as a transactional leader because she is more concerned with her team (followers) meeting set targets (goals) or defined requirements, objectives and expected level of results (performance).

In 2010, Georgia went from 13 to 14 representatives. Find the percent of increase in the number of representatives.

Answers

Answer:

Percent change in number of representative = 7.7 % (approx.)

Explanation:

Given:

Number of old representatives = 13

Number of new representatives = 14

Find:

Percent  change in number of representative

Computation:

Percent change in number of representative = [Number of new representatives-Number of old representatives]Number of old representatives

Percent change in number of representative = [14-13]/13

Percent change in number of representative = 7.6923

Percent change in number of representative = 7.7 % (approx.)

Facts about the chip category obtained from AC Nielsen are?


syndicated data.



survey data.



questionnaire data.



primary data.



experimental data.

Answers

Answer:

Explanation:

Then what is the question

Both Coca Cola and Benetton are global enterprises. Conduct online research and answer the following questions: What characteristics do these two firms display that qualify them as global enterprises?

Both Coca Cola and Benetton are global enterprises. Conduct online research and answer the following

Answers

Answer: here’s a photo of sample answer

Explanation:

Both Coca Cola and Benetton are global enterprises. Conduct online research and answer the following

Answer:

Both companies (Coca Cola and Benetton) registered as corporations, and both have a worldwide footprint across a number of countries. Both companies registered under the Companies Act of the respective countries in which they maintain a presence, and both abide by the laws and regulations of each nation.The companies operate on a large scale with huge investments in research and development, machinery, plants, and capital. They have numerous business functions that include marketing, manufacturing, market research, advertising, finance, and many more. They simultaneously work toward their core missions of generating profits, satisfying the needs of their customers, and continuously expanding their presence in current business markets and additional nations. They both raise capital from stock exchange markets.Both firms provide employment opportunities in their host nations and provide good quality products at moderate local rates. They also help in transferring resources such as raw materials and technology from advanced nations to the nations in which they operate.

Explanation:

Select the correct answer.
Jenna is a popular chef in a five-star hotel. She has a secret recipe that is in high demand. Under which specific law will Jenna and her unique recipe be protected against competitor infringement?
A.
trade dress
B.
trademark
C.
trade secret
D.
patent

Answers

Answer:

D. patent

Explanation:

Simple! If she has a patent on it no one can use it.

Which of the following is not a component of the master budget? Sales budget. Capital expenditures budget. Selling and administrative expenses budget. Ending inventory and cost of goods sold budget.

Answers

The Sales budget is not a component of the master budget.

The master budget is a comprehensive financial plan that incorporates various individual budgets to provide an overall view of a company's financial operations. It typically includes budgets for sales, production, expenses, and financial statements.

The components of a typical master budget include:

1. Sales budget: This budget forecasts the expected sales revenue for a given period based on historical data, market trends, and sales projections.

2. Production budget: The production budget outlines the planned production quantities needed to meet the sales demand, considering factors such as inventory levels, lead times, and production capacity.

3. Direct materials budget: This budget estimates the quantity and cost of materials required for production, considering factors such as desired inventory levels and production schedules.

4. Direct labor budget: The direct labor budget determines the required labor hours and associated costs based on production needs and labor rates.

5. Manufacturing overhead budget: This budget estimates the indirect manufacturing costs, such as utilities, maintenance, and depreciation, necessary to support production.

6. Selling and administrative expenses budget: This budget details the anticipated expenses related to sales, marketing, and general administrative functions.

7. Capital expenditures budget: The capital expenditures budget outlines the planned investments in long-term assets, such as equipment, facilities, or technology, over a specified period.

8. Cash budget: The cash budget projects the expected cash inflows and outflows, including revenues, expenses, and financing activities, to determine the company's cash position.

9. Financial statements: The master budget often includes pro forma financial statements, such as the income statement, balance sheet, and cash flow statement, based on individual budgets and assumptions.

Among the options provided, the Sales budget is not a component of the master budget itself.

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A company purchased a new truck at a cost of $42,000 on June 1, 2019. The truck is estimated to have a useful life of 7 years. The company uses the straight-line method of depreciation. So, the annual depreciation expense is $6,000. How much depreciation expense will be recorded for the truck during the first year ended December 31? Select one: a. $6,000. B. $45,000. C. $3,500. D. $3,000.

Answers

Answer:

C. $3,500

Explanation:

The formula for a straight-line method of depreciation is provided  below:

annual depreciation charge=(cost-salvage value)/useful life

cost of the new truck=$42,000

salvage value=$0

useful life=7 years

depreciation=($42,000-$0)/7=$6,000( same as given in the question)

The truck was used for 7 months in the first year ended, from June 1 2019 to December 31 2019

Depreciation for the first year=$6000*7/12=$3,500

On June 1 of Year 1, a company paid $2,400 cash to rent office space for one year beginning immediately. Based solely on this information, how this transaction would affect the Year 2 financial statements? Assume that the company's accounting year is same as the calender year. (Select all that apply.)

Answers

With an assumption that the company's accounting year is same as the calender year, the income statement would show $1,000 of rent expense.

What is an income statement?

An income statement refers to a financial statement that shows a firm's income and expenditures for an accounting year.

Rent expenses = $2,400 prepaid rent / 12 months

Rent expenses = $200 per month

Rent expenses = $200 rent expense per month x 5 months (in Year 2)

Rent expenses = $1,000 rent expense

In conclusion, with an assumption that the company's accounting year is same as the calendar year, the income statement would show $1,000 of rent expense.

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What do you need to make land and natural resources?

Answers

Answer:

Composta casera : mejora plantas y suelos a costos económicos con materiales accesibles

Coloca una capa de paja de 30 cm de altura a lo largo de la cama y encima restos de jardinería, viruta o aserrín, desechos de hortalizas. ...

Agrega una capa de 15 cm. de restos de comida o de jardinería.

Explanation:

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