Aging of accounts receivable L074) 11. Route Canal Shipping Company has the totlowing schedule for aging of accounts receivable: a. Fill in column (4) for each month. Age of Receivables Are 2011 9 16 Percent of Age Ano Account Amount Due Malar sales | February - 112.500 15-190 27500 To receivable 35.606 100 If the firm had 11.500.000 in credit sales over the four-month period, compute the average collection period. Average daily sales should be based on a 120-day period. c. If the firm likes to see its bills collected in 35 days, should it be satisfied with the average collection period? Disregarding your answer to parte and considering the aging schedule for accounts receivable should the company be satisfied? . What additional information does the aging schedule being to the company that the average collection period may not show? Economic ordering geantity (L07-5) 12. Nowlin Pipe & Steet has projected sales of 72,000 pipes this year, an ordering cost of 16 per order and carrying costs of 12.40 per pipe 2. What is the economic ordering quantity? 6. How many orders will be placed during the year? 6. What will the average inventory be? Economic ordering quantity (L07-5) 13. Fisk Corporation is trying to improve its inventory control system and has installed an online computer at its retail stores. Fisk anticipates sales of 49.000 units per year, an ordering cost of 18 per order and carrying costs of 11.60 per unit a. What is the economic ordering quantity? 0. How many orders will be placed during the year? c. What will the average Inventory be? d. What is the total cost of ordering and carrying inventory? Economic ordering quantity (L07-5) 14. (See Problem 13 for basic data.) In the second year, Fisk Corporation finds that can reduce ordering costs to 12 per order but that carrying costs stay the same at 11.60 per unit. Also, volume remains at 49,000 units per year. 3. What is the economic ordering quantity? D. How many orders will be placed during the year c. What will the average inventory be? d. What is the total cost of ordering and carrying inventory? Franemis ordering quantity with safety stok (L07.5) 15. Diagnostic Supplies has expected sales of 84,100 units per year, carying costs of 35 per unit, and an ordering cost of 810 What is the economic order quantity? What is the average inventory? What is the total carrying cost? Assume an additional 80 units of inventory will be required as safety stock. What will the new average Inventory be? What will the new total carrying cost be? per b. Paper 23 Aging of accounts receivable L074) 11. Route Canal Shipping Company has the totlowing schedule for aging of accounts receivable: a. Fill in column (4) for each month. Age of Receivables Are 2011 9 16 Percent of Age Ano Account Amount Due Malar sales | February - 112.500 15-190 27500 To receivable 35.606 100 If the firm had 11.500.000 in credit sales over the four-month period, compute the average collection period. Average daily sales should be based on a 120-day period. c. If the firm likes to see its bills collected in 35 days, should it be satisfied with the average collection period? Disregarding your answer to parte and considering the aging schedule for accounts receivable should the company be satisfied? . What additional information does the aging schedule being to the company that the average collection period may not show? Economic ordering geantity (L07-5) 12. Nowlin Pipe & Steet has projected sales of 72,000 pipes this year, an ordering cost of 16 per order and carrying costs of 12.40 per pipe 2. What is the economic ordering quantity? 6. How many orders will be placed during the year? 6. What will the average inventory be? Economic ordering quantity (L07-5) 13. Fisk Corporation is trying to improve its inventory control system and has installed an online computer at its retail stores. Fisk anticipates sales of 49.000 units per year, an ordering cost of 18 per order and carrying costs of 11.60 per unit a. What is the economic ordering quantity? 0. How many orders will be placed during the year? c. What will the average Inventory be? d. What is the total cost of ordering and carrying inventory? Economic ordering quantity (L07-5) 14. (See Problem 13 for basic data.) In the second year, Fisk Corporation finds that can reduce ordering costs to 12 per order but that carrying costs stay the same at 11.60 per unit. Also, volume remains at 49,000 units per year. 3. What is the economic ordering quantity? D. How many orders will be placed during the year c. What will the average inventory be? d. What is the total cost of ordering and carrying inventory? Franemis ordering quantity with safety stok (L07.5) 15. Diagnostic Supplies has expected sales of 84,100 units per year, carying costs of 35 per unit, and an ordering cost of 810 What is the economic order quantity? What is the average inventory? What is the total carrying cost? Assume an additional 80 units of inventory will be required as safety stock. What will the new average Inventory be? What will the new total carrying cost be? per b. Paper 23
