Average inventory held during year including safety stock

Assignment Help Financial Management

Reference no: EM131045211

Appliance for Less is a local appliance store. It costs this store $22.02 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 644 units. Each order costs $65.

The company is using Economic Order Quantity model in placing the orders.

What is the average inventory held during the year including safety stock if the store insists on a 6 days safety stock (assume 365 days a year)? (Round the answer to the whole number)

Reference no: EM131045211

Questions Cloud

Is your portfolio less risky or more risky than market index : Your portfolio is diversified. It has an expected return of 11.0% and a beta of 1.10. You want to add 300 shares of Kraft Foods Inc at $40 a share to your portfolio. Calculate the expected beta on the portfolio after you have added Kraft Foods Inc's ..

What is the probability that both plots : Assume that the density of Chokecherry trees in a degraded forest is 32 trees per 1,000 m2 and further assume that they are randomly distributed through this forest, if two 10x10 meter plots are randomly selected, then: a) What is the probability ..

Discuss some of the schedule risks you may encounter : Make a list of things you must consider when creating your estimate for the reunion (i.e. food, entertainment, do you need a team of people to help?). Give approximate costs when you are creating this list. You do not have to go out and call hotel..

Greatest probability of occuring : a) What is the probability that exactly half of the beech trees in the sample will be so damaged? b) What is the probability that two or more beech trees in the sample will be so damaged? c) What number of damaged beech trees will have the greatest p..

Average inventory held during year including safety stock : Appliance for Less is a local appliance store. It costs this store $22.02 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 644 units. Each order costs $65. What is the average..

Show that q2 and u span the same subspace : Show that Q2 and U span the same subspace, where Q2 is the sub-matrix of Q with the first column removed. Under what circumstances will they be the same, up to sign flips?

Make a summary table for your anova test : Find the critical value at the .01 level. Decide if the null hypothesis is to be rejected or not. Make a summary table for your ANOVA test.

Dividends are expected to grow at an annual rate : Last year the black water inc paid dividends $3.24. Company's dividends are expected to grow at an annual rate of 5% forever. The company's common stock is currently selling on the market for $52.68. The investments banker will change flotation costs..

The various privileges to defamation suits : Explain the application of the various privileges to defamation suits and how they are affected by whether the plaintiff is (a) a public figure, (b) a public official, or (c) a private person.

User Account

All Pages