User Account

All Pages

Examine problem-eoq for manufacturer

Assignment Help Accounting Basics
Reference no: EM131672593

Question: EOQ for manufacturer. Sk8 Company produces skateboards and purchases 20,000 units of a wheel bearing each year at a cost of $1 per unit. Sk8 requires a 15% annual rate of return on investment. In addition, the relevant carrying cost (for insurance, materials handling, breakage, etc.) is $0.17 per unit per year. The relevant ordering cost per purchase order is $38.40.

1. Calculate Sk8's EOQ for the wheel bearing.

2. Calculate Sk8's annual relevant ordering costs for the EOQ calculated in requirement 1.

3. Calculate Sk8's annual relevant carrying costs for the EOQ calculated in requirement 1.

4. Assume that demand is uniform throughout the year and known with certainty so there is no need for safety stocks. The purchase-order lead time is half a month. Calculate Sk8's reorder point for the wheel bearing.

Reference no: EM131672593

Questions Cloud

What do you make of the argument in the mcbrayers arguments : What do you make of the argument in McBrayer's arguments? Are they valid or invalid? Do you find it surprising that his views are pretty standard in philosophy?
Why is it important to remain objective for your client : Choose three of the dispositions required of professional counselors. Write a 250-500 word personal reflection on the dispositions that you chose.
Explain the segmentation strategy implemented : Explain the segmentation strategy implemented by this organization. Explain how the organization adapts its marketing programs to address that target.
Ethical standards violated in the enron case : Delineate the ethical standards violated in the Enron case based on each of the six (6) ethical theories studied thus far.
Examine problem-eoq for manufacturer : EOQ for manufacturer. Sk8 Company produces skateboards and purchases 20,000 units of a wheel bearing each year at a cost of $1 per unit.
Calculate and comment on the cost of the prediction error : Compare this cost to the annual relevant total costs that Alpha would have incurred if it had correctly estimated the relevant carrying cost per unit per year.
Briefly summarize the history of the mind-brain problem : Describe two different research designs that social psychologists use and what types of information can be gained from each.
Why can it governance archetype be good for one type of is : Why can an IT governance archetype be good for one type of IS decision but not for another? Give an example of when cloud computing might make sense.
Prepare a brochure or handout on training : Prepare a document which covers the following: Definition of the specialization of Industrial Organizational Psychology ,Various career opportunities etc.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd