What is optimal total annual cost

Assignment Help Business Economics
Reference no: EM131460172

Brady Jones is a manager at a local store that sells computers. He needs to decide how many computers to order based on the quantity discount schedule below. Annual demand is 9,000 computers, annual inventory carrying cost as a percent of unit cost is 65% (due to problems with obsolescence), and ordering costs are $45 per order.

Quantity Price per Unit ($)

1-199 ---> 1,300.00

200-499 ---> 1,297.00

500+ ---> 1,295.00

What is Optimal Total Annual Cost?

What is the EOQ to purchase? Round your final answer to the nearest whole number.

Reference no: EM131460172

Questions Cloud

Calculate the average growth rate directly from sales : Use the growth rates for 2005-2006, 2006-2007, 2007-2008, and 2008-2009 to calculate the average growth rate.
What effect would it have on the quantity of tickets : The income elasticity of demand for airplane tickets is estimated to be 0.56. If income was to rise by 6%, what effect would it have on the quantity of tickets
What amount of dividends did starbucks pay during the year : What amount of dividends did Starbucks pay during the year? Were there any significant changes in the cost structure during the most recent year?
Calculate mad : Consider the following sample data: Calculate the range. Calculate MAD. Calculate the sample variance.
What is optimal total annual cost : What is Optimal Total Annual Cost? What is the EOQ to purchase? Round your final answer to the nearest whole number.
How shaving off estimated direct labor-hours in base : how shaving off estimated direct labor-hours in base for predetermined overhead rate usually results in big boost in net operating income at end of fiscal year.
What is the system capacity : 1. What is the system capacity, and which is the bottleneck department? 2. How much slack (unused capacity) is available in other departments?
Calculate the variance and standard deviation : The Department of Transportation (DOT) fields thousands of complaints about airlines each year. The DOT categorizes and tallies complaints.
Calculate the sample variance and sample standard deviation : The monthly closing stock prices (rounded to the nearest dollar) for Starbucks Corp. and Panera Bread Co. for the first six months of 2010 are reported.

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

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!

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