Fredericks Farm Factory (FFF) currently maintains an average inventory valued at $2,900,000. The company estimates its capital
Question:
Frederick’s Farm Factory (FFF) currently maintains an average inventory valued at $2,900,000. The company estimates its capital cost at 8 percent, its storage cost at 4 percent, and its risk cost at 3 percent.
a) Calculate the annual holding cost rate for FFF.
b) Calculate the total annual holding costs for FFF.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 66% (3 reviews)
a Annual holding co...View the full answer
Answered By
Aysha Ali
my name is ayesha ali. i have done my matriculation in science topics with a+ . then i got admission in the field of computer science and technology in punjab college, lahore. i have passed my final examination of college with a+ also. after that, i got admission in the biggest university of pakistan which is university of the punjab. i am studying business and information technology in my university. i always stand first in my class. i am very brilliant client. my experts always appreciate my work. my projects are very popular in my university because i always complete my work with extreme devotion. i have a great knowledge about all major science topics. science topics always remain my favorite topics. i am also a home expert. i teach many clients at my home ranging from pre-school level to university level. my clients always show excellent result. i am expert in writing essays, reports, speeches, researches and all type of projects. i also have a vast knowledge about business, marketing, cost accounting and finance. i am also expert in making presentations on powerpoint and microsoft word. if you need any sort of help in any topic, please dont hesitate to consult with me. i will provide you the best work at a very reasonable price. i am quality oriented and i have 5 year experience in the following field.
matriculation in science topics; inter in computer science; bachelors in business and information technology
_embed src=http://www.clocklink.com/clocks/0018-orange.swf?timezone=usa_albany& width=200 height=200 wmode=transparent type=application/x-shockwave-flash_
4.40+
11+ Reviews
14+ Question Solved
Related Book For
Operations Management An Integrated Approach
ISBN: 9781119497387
7th Edition
Authors: R. Dan Reid, Nada R. Sanders
Question Posted:
Students also viewed these Business questions
-
Fredericks Farm Factory (FFF) currently maintains an average inventory valued at $3,400,000. The company estimates its capital cost at 10 percent, its storage cost at 4.5 percent, and its risk cost...
-
The sales of a popular mouthwash at Merkle Pharmacies over the past 6 months have averaged 1,700 cases per month resulting in 20,400 cases per month, which is the current order quantity. Merkle's...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
What pricing system is used to price the water you use at your college or university? Does this pricing system affect your behavior about water use (length of showers, etc.)? How? Could you recommend...
-
Matt Albin, Ryan Peters and Seth Ramsey invested $82,000, $49,200 and $32,800, respectively, in a partnership. During its first calendar year, the firm earned $135,000. Required Prepare the entry to...
-
The chief executive officer of Home Workout Equipment Corporation remarked to a colleague, I dont understand why other companies waste so much time in the budgeting process. I set our company goals,...
-
1. What are the characteristics of a not-for-profit entity?
-
On January 2, 2010, the Whistler Company purchased land for $450,000, from which it is estimated that 400,000 tons of ore could be extracted. It estimates that it will cost $80,000 to restore the...
-
please help The following information is available for Lock-Tite Company, which produces special-order security products and uses a Job order costing system April 30 $26.000 9.900 59.000 May 31 5...
-
On February 12, 2005, Nancy Trout and Delores Lake formed Kingfisher Corporation to sell fishing tackle. Pertinent information regarding Kingfisher is summarized as follows: ? Kingfisher?s business...
-
A local nursery, Greens, uses 1780 bags of plant food annually. Greens works 50 weeks per year. It costs $12 to place an order for plant food. The annual holding cost rate is $6 per bag. Lead time is...
-
Which type of inventory cost includes the interest paid on money borrowed? a) Item cost b) Holding cost c) Capital cost d) Storage cost
-
In Examples 3.9.9 and 3.9.11, find the marginal p.d.f. of Z1 = X1/X2 by first transforming to Z1 and Z2 = X1 and then integrating z2 out of the joint p.d.f.
-
Go to: https://www.instagram.com/ryderseyewear/ on your desktop, laptop, or mobile (or a combination of all 3). You are the new Social Media Marketing Manager for Ryders Eyewear. You've been asked...
-
As leaders, it is very important that we have the ability to assess our own motivation and the motivation of others around us. It is also important to recognize the key factors involved in...
-
At the end of this exam, you will find Article 1 - " How Companies Can Prepare for a Long Run of High Inflation ". Please read the article and, when necessary, consult additional sources and the...
-
You can develop your capabilities as a manger by better understanding different ways of motivating and rewarding employees. You can also better prepare for your own career by better understanding the...
-
Topic: Project Malasakit of Kara David https://projectmalasakit.org/ What is the pros and cons of these alternative courses of the action below: Strengthen the internal organization via promoting it...
-
You are a purchasing manager for Alpha Corporation. You are responsible for buying two $1 million generators. Your company has a written policy prohibiting any company buyer from receiving a gratuity...
-
Can partitioned join be used for r r.A s? Explain your answer
-
Using the given information and the beginning inventories from Problem 4, calculate the minimum replenishment time for the 100 Q Models.
-
Using the information given and assuming that 2500 Model A fountains are scheduled for completion, calculate the gross requirements of each component. Use the beginning inventories given.
-
Fill in the partially completed inventory record shownhere. Item: AB500 Lot Size Rl: L4L Children: AB501, AB511, AB521 Lead Time: 2 weeks Parent: None 2 15 250 150 Gross Requirements: Scheduled...
-
Maddox Resources has credit sales of $ 1 8 0 , 0 0 0 yearly with credit terms of net 3 0 days, which is also the average collection period. Maddox does not offer a discount for early payment, so its...
-
Selk Steel Co., which began operations on January 4, 2017, had the following subsequent transactions and events in its long-term investments. 2017 Jan. 5 Selk purchased 50,000 shares (25% of total)...
-
Equipment with a book value of $84,000 and an original cost of $166,000 was sold at a loss of $36,000. Paid $100,000 cash for a new truck. Sold land costing $330,000 for $415,000 cash, yielding a...
Study smarter with the SolutionInn App