What is the annual carrying rate, Operation Management

Assignment Help:

ABC Aircraft uses 3,000 drill bits annually. Each drill bit costs $50 and each order ABC places costs $25. The annual carrying rate is 40% of unit cost. ABC has contracted with the supplier of the drill bits to use an order quantity of 200 by doing which they receive a 3% discount on purchase price.

Compute the annual total cost (i.e. the Purchase cost + ordering cost + Holding cost). (Please read the question more than once)


Related Discussions:- What is the annual carrying rate

Different roles that need to be performed by team members, Question : (...

Question : (a) "When a team is performing at its best, you'll usually find that each team member has clear responsibilities. You'll also see that every role needed to achieve t

Innovation and learning perspective - performance measures, Innovation and ...

Innovation and Learning Perspective - Performance Measures In this perspective, the company emphasises the design and application of business management initiatives that foste

Explain benifit program in a large organization, How would you oversee the ...

How would you oversee the design (or redesign) of a benifit program in a large organization? What issues would you consider?

Explain sum payable must be certain and definite, Please exemplify the stat...

Please exemplify the statement correctly: It is also essential that the sum payable must be certain and definite. If the amount ordered to be paid is uncertain, the instrument cann

Determining Sample Design, Determining Sample Design: All the items ...

Determining Sample Design: All the items consideration in any field of inquiry constitute a universe or population. A complete enumeration of all the items in the populat

Look to shareholders - financial perspective, Look to Shareholders - Financ...

Look to Shareholders - Financial Perspective  In this perspective, the company identifies individual function contribute to the accomplishment of its overall mission and strat

Explain the rop that will provide a risk of stockout, Given this informatio...

Given this information Expected demand during lead time = 300 units Standard deviation of lead time demand = 30 units Determine each of the following, assuming that lead t

Find gross domestic product is accounted for by logistics, What percent of ...

What percent of North American gross domestic product is accounted for by logistics? Almost 11 percent Almost 22 percent Almost 33 percent Almost 44 percent Flingers

Explain what do you think sally should do, Case 2 Individual or Team Reward...

Case 2 Individual or Team Reward? Jack Hopson has been making wood furniture for more than ten years. He recently joined Metropolitan Furniture and has some ideas for Sally Boston,

Write Your Message!

Captcha
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