Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Oct 19, 2024

Redan Manufacturing uses 3,000 switch assemblies per week and then reorders another 3,000. The relevant carrying cost per switch assembly is $12.50, and the fixed

Redan Manufacturing uses 3,000 switch assemblies per week and then reorders another 3,000. The relevant carrying cost per switch assembly is $12.50, and the fixed order cost is $1,500.

(1) What is the current carrying cost? (2) What is the order cost? (3) Calculate the economic order quantity

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Contemporary Business Mathematics with Canadian Applications

Authors: S. A. Hummelbrunner, Kelly Halliday, K. Suzanne Coombs

10th edition

133052311, 978-0133052312

More Books

Students also viewed these Finance questions

Question

★★★★★

Consider a country whose economic structure matches the assumptions of the classical model. After reading a recent best-seller documenting a growing population of low-income elderly people who were...

Answered: 1 week ago

Question

★★★★★

Consider a dataset A that contains a single numeric attribute. The minimum value in the dataset is denoted as minA, the maximum value is denoted as maxA, the dataset mean is denoted as A, and the...

Answered: 1 week ago

Question

★★★★★

The building is fully rented out and brings up annual rents of $7 million. You do not anticipate that these rents will increase over the next 10 years.

Answered: 1 week ago

Question

★★★★★

The Russell Company has an extensive job-costing facility that uses a variety of metals. Consider each requirement independently. Required 1. Job 372 uses a particular metal alloy that is not used...

Answered: 1 week ago

Question

★★★★★

Redan Manufacturing uses 3,000 switch assemblies per week and then reorders another 3,000. The relevant carrying cost per switch assembly is $12.50, and the fixed order cost is $1,500. (1) What is...

Answered: 1 week ago

Question

★★★★★

RAK, Inc., has no debt outstanding and a total market value of $200,000. Earnings before interest and taxes, EBIT, are projected to be $24,000 if economic conditions are normal. If there is strong...

Answered: 1 week ago

Question

★★★★★

TBA, Inc., manufactures and sells concrete block for residential and commercial building. In preparation for a master budget for the 2023, management gathers the following information. Quarterly...

Answered: 1 week ago

Question

★★★★★

On 31 December 20.2, the end of the financial year for Kiyu Traders, the total amount of unused packing material was R4 500. The amount reflecting in the trial balance for packing material at...

Answered: 1 week ago

Question

★★★★★

Alpaca industries has current sales of $ 6 0 0 , 0 0 0 . Variable costs are 4 0 % of sales and fixed costs are $ 2 8 8 , 0 0 0 . Currently, all sales are cash sales and therefore the company has no...

Answered: 1 week ago

Question

★★★★★

Mini Case Study "Foodie Time" Instructions: To fully understand customer relations management, companies need practitioners to be in the field where everything happens. This is the goal of this next...

Answered: 1 week ago

Question

★★★★★

The following script fictionalizes a conversation between a front desk clerk, a guest, and a housekeeper. Several students should act the roles; the remaining students should observe and analyze the...

Answered: 1 week ago

Previous Question Next Question