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1. Monthly demand for an inventory item currently averages 160 units. The annual carrying cost is $10 per unit. Ordering cost is $60 per order. This information applies to all of the questions on this page.
Find the EOQ. Please show the formula (with values) you used.
2. Suppose instead of using the EOQ, we decide to use Q = 200 for the item in the question above.What is the average cycle stock inventory under this policy? Show your work and clearly label your answer.
3. Suppose instead of using the EOQ, we decide to use Q = 200 for the item in the question above.What is the average number of orders per year under this policy? Show your work and clearly label your answer.
4. Suppose instead of using the EOQ, we decide to use Q = 200 for the item in the question above.What is the average annual ordering cost under this policy? Show your work and clearly label your answer.
5. Suppose instead of using the EOQ, we decide to use Q = 200 for the item in the question above.What is the average annual carrying cost under this policy? Show your work and clearly label your answer.
Prepare the journal entry for the issuance when the market price of the common shares is $ 168 each and market price of the preferred is 210 each. (Round to nearest dollar.)
A rowdy spring break guest damages a jukebox that had been purchased in 1995 for $800. The jukebox had a useful of ten years, with an estimated salvage value of $75. The company decided to scrap the jukebox after the incident.
Prepare a schedule of cash collections for January, February, and March and for the quarter in total, Prepare a production budget for January, February, and March and for the quarter in total.
Corporate Law Case Studies, case for Designco Pty ltd designs, manufactures and distributes craft kits for children, case for Andrew and Belinda are the only shareholders and directors of Sailors Pty Ltd
Kyle sold land on the installment basis for $100,000. His basis in the land was $70,000. Kyle received a $40,000 down payment and a real estate installment sale contract calling for $60,000 in additional payments in future years.
Making decision for discontinue production of subassemblies and purchase from an outside supplier.
What are management assertions? How do they affect the financial statements? How does the auditor formulate audit objectives based on management assertions?
For each of the following items, indicate whether it would be classified and reported under the operating activities (OA), investing activities (IA), or financing activities (FA) section of a statement of cash flows:
Prepare the journal entries to record the following transactions in Hunt Ltd’s records using the perpetual inventory system. (For multiple debit or credit entries, list accounts in order of magnitude.)
Determine the effect on EZ's accounting equation relative to the sale, collections, and write-offs of accounts receivable during 1007. What is the net realizable value of accounts receivable on December 31, 2007, under each assumption in part (2)?
In generating theories of accounting based upon what accountants actually do, it is assumed (often implicitly) that what is done by the majority of accountants is the most appropriate practice.
Do you need to develop your own internal GAAP to manage the company? Let's get creative and brainstorm. There's no right answer here, just the opportunity to begin exploring the fascinating topic of International Accounting.
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