User Account

All Pages

Explain the purpose of the economic order quantity

Assignment Help Financial Accounting
Reference no: EM132761254

Mombong LLC manufactures electronic components for televisions. The expected annual demand is 40,000 units per year. The order cost is $150 per batch and the annual holding cost per unit is $0.80.

Required:

Problem (a) Explain the purpose of the Economic Order Quantity, and the underlying assumptions.

Problem (b) Using the above given information, compute:

i) the economic order quantity.
ii) the annual cost of ordering and holding

Reference no: EM132761254

Questions Cloud

Greatest factor influencing global climate change : In your opinion, what is the greatest factor influencing global climate change? Defend your position.
Important part of growth and development : Self-appraisal and assessment is an important part of growth and development.
Should thunder make or buy the part and why : Thunder can purchase 15000 units of part 3741 for $ 34 each. If the part is purchased, Should Thunder make or buy the part and why ?
Impact of internal and external assessment : Most managers in organizations develop strategic plans without realizing the importance of internal and external assessments and their implications
Explain the purpose of the economic order quantity : Explain the purpose of the Economic Order Quantity, and the underlying assumptions. Mombong LLC manufactures electronic components for televisions.
Why is critical thinking important in nursing practice : Why is critical thinking important in nursing practice? Why is developing critical thinking and clinical judgment in nursing school important?
Substrate-level and oxidative phosphorylation : Differentiate between the two processes and provide specific examples of ATP regeneration for each.
What amount should the inventory be valued : On January 2, 2019, Silent Corporation has an investment property that was carried at fair value with a carrying amount of Php 2,500,000.
Why are bonds used to raise money : Why are bonds used to raise money? Name and describe the characteristics of bonds. What is a bond discount? What is a bond premium

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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