An appliance repair shop buys and uses about 4,212 fan motors annually. Holding cost is 27 dollars per motor per year, and ordering cost is 177 dollars per order. Determine the economic order quantity. Round your number to ZERO decimal point.

Answers

Answer 1

Answer:

15,251 units

Explanation:

The formula for Economic order quantity is;

EOQ = √2DS/H

Where,

D = Annual demand = 4,212

S = Ordering cost = $177

H = Holding cost = $27/4,212 = $0.00064102564

EOQ = √ 2 × 4,212 × $177 / $0.00064102564

EOQ = √ $1,491,048 / $0.00064102564

EOQ = √232603488.37

EOQ = 15,251 units


Related Questions

thinking strategically about industry and competitive conditions in a given industry involves evaluating such considerations as

Answers

Answer:

E. how often sellers alter their prices, how sensitive buyers are to price differences among sellers, whether the item being purchased is a good or a service, and whether buyers buy frequently or infrequently.

Explanation:

Options are "A. cultural, lifestyle, and demographic changes, B. the birth of new industries, new knowledge, and disruptive technologies, C. weather, climate change, and water shortages, D. interest rates, exchange rates, unemployment rates, inflation rates, and economic growth, E. how often sellers alter their prices, how sensitive buyers are to price differences among sellers, whether the item being purchased is a good or a service, and whether buyers buy frequently or infrequently."

Thinking strategically about industry and competitive conditions in a given industry involves evaluating such considerations as how often sellers alter their prices, how sensitive buyers are to price differences among sellers, whether the item being purchased is a good or a service, and whether buyers buy frequently or infrequently.

The strategy decision making about the industry and competitive conditions involve evaluating the prices, buyer sensitivity to the prices, serviceability & frequency.

Agency relationship refers to a consensual relationship between two parties, where one person (the principal) or entity authorizes the other, the agent, to act on his, her, or its behalf. Agency relationships exist in most large corporations due to the separation of management from ownership. The lack of alignment of the principal and the agent interests create an agency cost. What are the main implications of this separation

Answers

Answer:

The main implications of the agency separation are goal incongruence, self-interest, and low productivity.

Explanation:

Goal incongruence between an agent and the principal arises from the lack of alignment in their interests.  While the agent is appointed to represent the principal, most often, the agent acts in her own interest instead of in the best interest of the principal.  This lack of alignment reduces the productivity that could result from the agency relationship.  Another implication of the management separation is that the agent's risk appetite will be different from that of the principal.  The principal will need to exercise some control over the agent to curb excessive risk-taking by the agent.

Suppose you buy a put option contract on October gold futures with a strike price of $1200 per ounce. Each contract is for the delivery of 100 ounces. What happens if you exercise when the October futures price is $1,180?

Answers

Answer:

Strike price of October gold future = $1,200 per ounce

The exercise price = $1,180

To calculate the amount that will help the investor to decide about the position

Amount added to margin = (Strike price - Future price) * Delivery if each contract

Amount added to margin = ($1,200 - $1,180) * 100

Amount added to margin = $20 * 100

Amount added to margin = $2,000

Therefore, the amount of $2,000 is received. The investor has short position on future contracts to sell 100 ounces of gold in October.

Grievances are official complaints made by employees regarding an issue that they feel is wrong or unfair. Grievances are usually resolved with the help of a(n):____________

Answers

Answer:

Mediator

Explanation:

Mediation is sad to be Neutral third party in dispute settlement. The mediator is saddle with the responsibility by assisting the disputing parties to reach their own agreement.

Mediator role is to analyze and asses critical situations and design intervention to cancel or fault the causes of conflict.

Grievance Mediation is a type of mediation used to settle conflict, grievance or disagreement in relation to union grievances in an organized labor setting.

Advantages of Grievance Mediation includes high settlement rates, high satisfaction, facilitates communication and others.

How do i get as much mony as bill gates todey?

Answers

Answer:

be very famous

Explanation:

be white
why do i need to have 20 letters

Here I Sit Sofas has 7,500 shares of common stock outstanding at a price of $98 per share. There are 760 bonds that mature in 34 years with a coupon rate of 7.2 percent paid semiannually. The bonds have a par value of $2,000 each and sell at 110.5 percent of par. The company also has 6,400 shares of preferred stock outstanding at a price of $51 per share. What is the capital structure weight of the debt

Answers

Answer:

61.28%

Explanation:

Equity market value = Number of shares*price/share

Equity market value  = 7,500 * $98

Equity market value = $735,000

Current debt value = Number of bonds*price/bond

Current debt value = 760*(1.105*2000)

Current debt value = $1,679,600

Preferred stock value = Number of shares*price/share

Preferred stock value = 6,400 * $51

Preferred stock value = $326,400

Total capital = Common equity value + Debt value + Preferred stock value

Total capital = $735,000 + $1,679,600 + $326,400

Total capital = $2,741,000

Weight of debt = Debt value / Total capital

Weight of debt = $1,679,600 / $2,741,000

Weight of debt = 0.6127690623859905

Weight of debt = 61.28%

***ECONOMICS***An investment that you bought for ______
and sold for _____
made a profit.

A. $500; $400

B. $400; $500

C. S500; $300

D. $400; $300

Answers

Answer:

B.

Explanation:

you bought it for 400 and sold it for 500 and made 100$ profit

The firm should shut down if the market price is:___________.
A. above $8.
B. above $6.30 but less than $8.
C. above $4.50 but less than $6.30.
D. less than $4.50.

Answers

Answer: D. less than $4.50.

Explanation:

In the short run, a business should shutdown if the market price is below the Average Variable costs as because at this point, only losses are being made if the company stays in action.

If price is below the variable cost, it is best to shutdown so that the company can stop incurring the variable costs and incur the fixed cost alone. The lowest Average Variable cost is $4.50 for this good and so if the price falls below $4.50, the should shutdown.

What are folders within folders called?
Folders made within folders are known as......?

Answers

Answer:

subfolder

Explanation:

To determine the dutiable status of goods, it is necessary to know their classification, country of origin, and details pertaining to:___________.a. Perishable/non-perishable status.b. Partially or fully manufactured goods.c. Raw materials to be used in production.d. Value.

Answers

Answer:

d. Value

Explanation:

The dutiable goods are subjected to duties. Dutiable goods may be defined as the goods and products on which tax have to be paid when they brought to a country from other countries.

In order to known the dutiable status of any goods, it is very important to know the classification of the good, the place of their origin and all the details relating to its value.

Assume that Smith deposits $500 in currency into her checking account in the XYZ Bank. Later that same day, Jones negotiates a loan for $2,000 at the same bank. In what direction and by what amount has the supply of money changed?

Answers

Answer: See explanation

Explanation:

Supply of money simply means the money available at a particular time period for an economy.

In the above scenario, the loan of $2000 will lead to an increase in the supply of money available in the economy by $2000.

It should be noted that the deposit made by Smith in the value of $500 does not bring about in the change of the money supply. This is because tye. $500 is still considered to be part of the money supply that is available in the economy.

Which are indicators that economists use to measure how an economy grows? Select all that apply.

Answers

Explanation:

economists measure its performance by studying the gross domestic product (GDP)

If GDP goes up, the economy is growing; if it goes down, the economy is contracting.

What is the standard deviation of a stock that has a 10% chance of earning 18%, a 10% chance of making 11%, a 40% chance of making 5%, and a 40% chance of making 22%?
A. 7.95%.
B. 13.70%.
C. 7.78%.
D. 13.05%.

Answers

Answer:

A. 7.95%.

Explanation:

Calculate the expected rate of return for the investment as follows:

[tex]\begin{aligned}

\text { Expected rate of return } &=(\text { Probability } \times \text { Rate of return })+(\text { Probability } \times \text { Rate of return })+\\

&(\text { Probability } \times \text { Rate of retum }) \\

=&(0.40 \times 15 \%)+(0.50 \times 10 \%)+(0.10 \times-3 \%) \\

=& 0.06+0.05-0.003 \\

=& 0.107[/tex]

Calculate the standard deviation of the investment as follows:

[tex]\begin{aligned}

\text { Standard deviation }=&\left\{\begin{array}{l}

\text { Probability } \left.\times(\text { Return }-\text { Expected return })^{2}\right)+ \\

\text { (Probability } \left.\times(\text { Return }-\text { Expected return })^{2}\right)+ \\

\text { (Probability } \left.\times(\text { Return }-\text { Expected return })^{2}\right)

\end{array}\right.[/tex]

=[tex]\sqrt{\left(0.40 \times(0.15-0.107)^{2}\right)+\left(0.50 \times(0.10-0.107)^{2}\right)+} \\

=\sqrt{0.0007396+0.0000245+0.0018769} \\

=\sqrt{0.002641} \\

=0.05139066063011[/tex]

A one year call option has a strike price of 50, expires in 6 months, and has a price of $4.74. If the risk free rate is 3%, and the current stock price is $45, what should the corresponding put be worth?
A) $12.74.
B) $10.48.
C) $5.00.
D) $9.00.
E) $8.30.

Answers

Answer:

$9.90

Explanation:

Using Put Call Parity Equation:

C + X/(1 + r)^t + S + P

Call price + PV of exercise price = Spot price + Put price

4.74 + 50/(1.03)^0.30 = 45 + P

4.74 + 50/1.00891 = 45 + P

4.74 + 49.5584 = 45 + P

P = 4.74 + 49.5584 - 45

P = 9.2984

P = $9.90

Thus, the Price of Put Option with $50 exercise price = $9.90

Grey, Inc., uses a predetermined rate to apply overhead. At the beginning of the year, Grey budgeted its overhead costs at $220,000, direct labor hours at 55,000, and machine hours at 20,000. Actual overhead costs incurred were $233,250, actual direct labor hours were 62,000, and actual machine hours were 15,000. If the PDOH rate uses machine hours as the cost driver, what is the total amount credited to the overhead account control account

Answers

Answer:

$165,000

Explanation:

Calculation for what is the total amount credited to the manufacturing overhead account for the year for Grey

First step is to calculate Predetermined overhead rate using this formula

Predetermined overhead rate = Estimated overhead costs / Estimated machine hours

Let plug in the formula

Predetermined overhead rate = $220,000 / 20,000 machine hours

Predetermined overhead rate= $11

Second step is to calculate Total amount credited to the factory overhead account for the year for Grey

Using this formula

Total amount credited to the factory overhead account for the year for Grey = Predetermined overhead rate × Actual machine hours

Let plug in the formula

Total amount credited to the factory overhead account for the year for Grey= $11 × 15,000 machine hours

Total amount credited to the factory overhead account for the year for Grey = $165,000

Therefore the Total amount credited to the factory overhead account for the year for Grey will be $165,000

Johnson Controls Inc has an operating cycle of 159 days. The firm's days' sales in inventory is 83 days. How much does the firm have in receivables if it has credit sales of $600,000?

Answers

Answer:

$124,931.5

Explanation:

Johnson controls has an operating cycle of 159 days

The firm day sales in inventory is 83 days

The first step is to calculate the DSO

= 159 days-83 days

= 76 days

Therefore the amount in receivables can be calculated as follows

= 600,000/365 × 76

= 1,643.83 × 76

= $124,931.5

when it comes to managing money success is about 80% knowledge and 20% Behavior true or false ​

Answers

Answer:

huh

Explanation:

do you have a picture of the question because I don't get it but I'm trying to help

Susan won $2,000 at the blackjack tables on her birthday. Her winnings are an example of:________.
a. an in-kind transfer.
b. transitory income.
c. life-cycle income.
d. permanent income.

Answers

Answer:

B. Transitory income.

Explanation:

As the name sounds, it is seen to be a form of income that is said to be anticipated. This form of income does not play key roles in the standard of living of the said person. This income is clearly a short-lived kind as it cannot hold a person or family towards a certified period of time. Also in many cases, economists are seen to believe that people base their consumption on their permanent income, therefore, inequality in consumption is one gauge of inequality of permanent income; making consumption less effectective, as transitory changes in income, they are more equally is current income.

1
The diagram shows the market for fresh fish in the Caribbean with equilibrium point X. New, more efficient boats with lower running costs are then used.
Which point represents the new equilibrium?

Answers

Answer:

Point C

Diagram is available online but cannot be imported due to its format

Explanation:

A reduction in the cost of inputs means that suppliers will avail more fish in the market. An increase in supply caused by other factors other than price shifts the supply to the right. A shift of the supply curve outwards or the right makes the equilibrium point to move to capture an increase in supply.

In the diagram, the new equilibrium point will be at point C. The supply will increase due to a reduction in input costs.

Rory Company has a machine with a book value of $101,000 and a remaining five-year useful life. A new machine is available at a cost of $116,000, and Rory can also receive $83,000 for trading in its old machine. The new machine will reduce variable manufacturing costs by $17,000 per year over its five-year useful life. Calculate the incremental income. (Any losses or outflows should be entered with a minus sign.)

Answers

Answer:

Incremental Income $52,000

Explanation:

The computation of the incremental income is shown below:

Reduction in variable manufacturing costs ($17,000 × 5) $85,000

Cost of the new machine -$116.000

Cash received from trade in old machine $83,000

Incremental Income $52,000

The machine should replacement as there is an increase in income by $52,000

[When producing a 3TB portable hard drive, fixed costs are $20,000,000 regardless of sales volume. Variable costs are $25 per unit and the unit price of the portable hard drive is $50.] Julie also wants to consider the case of estimated sales volume for the target return of $20 million. Fixed costs, variable costs per unit, and price remain the same. In such a case, total revenue is ___________________ Group of answer choices

Answers

Answer:

$80 million

Explanation:

Return (profit) = Total revenue - total cost

Total revenue = price x quantity sold

price = $50

quantity sold = x

total revenue = $50x

Total cost = fixed cost + variable cost

fixed cost = $20,000,000

variable cost = Variable costs per unit x quantity sold

= $25x

Total cost = $20,000,000 + $25x

$20,000,000 = $50x - ($20,000,000 + $25x)

Collecting like terms and solving for x

$40,000,000 = $25x

x = 1,600,000

Total revenue =  1,600,000 x $50 = $80 million

The total revenue is $80 million.

We know that;

Profit = Total revenue - total cost

But

Total revenue = price x quantity sold

Total revenue = $50 * X (quantity sold)

Total revenue = $50X

Also,

Total cost = Fixed cost + Variable cost

Variable cost = Variable costs per unit x quantity sold

Variable cost  = $25x

Hence,

Total cost = $20,000,000 + $25x

$20,000,000 = $50x - ($20,000,000 + $25x)

Solving for X, we will have ;

$40,000,000 = $25x

X = 1,600,000

Recall

Total revenue = $50X

Total revenue = $50 * 1,600,000

Total revenue = $80 million

It therefore means that in such a case, the total revenue would be $80 million.

Learn more at : https://brainly.com/question/24528560

The Treasury bill rate is 6%, and the expected return on the market portfolio is 10%. According to the capital asset pricing model:________

Answers

Answer: See explanation

Explanation:

Your question is not complete. Here is the completed question:

The Treasury bill rate is 6%, and the expected return on the market portfolio is 10%. According to the capital asset pricing model, what is the risk premium?

The risk premium will be the difference between the market portfolio and the treasury bill rate. This will be:

= 10% - 6%

= 4%

Franklin corporation issues $97,000, 8%, 5-year bonds on January 1, for $101,370. Interest is paid semiannually on January 1 and July 1. If Franklin uses the straight-line method of amortization of bond premium, the amount of bond interest expense to be recognized on July 1 is:________.
a. $4,317
b. $7,760
c. $3,443
d. $3,880

Answers

Answer:

c. $3,443

Explanation:

Date     Account Titles                              Debit      Credit

Jan 1     Cash                                              101370

                  Bond payable                                          97000

                  Premium on issue of bonds                    4,370

                   (101370-97000)

Jul 1        Interest expenses (3680 - 437)  3,443

              Premium on issue on bond         437

              (4379/5 * 6/12)

                     Cash (97,000*8%*6/12)                          3,800

A company is facing a lawsuit from a customer. It is possible, but not probable, that the company will have to pay a settlement that management estimates to be $2,000,000. How would this fact be reported in the financial statements to be issued at the end of the current month?
a. $2,000,000 in the Current Liability section.
b. $2,000,000 in the Long-Term Liability section.
c. In a descriptive narrative in the footnote section.
d. None because disclosure is not required.

Answers

Answer:

c. In a descriptive narrative in the footnote section.

Explanation:

Only contingent liabilities that are probable and can be actually estimated must be recorded in the income statement and balance sheet. Contingent liabilities that are only possible, but not probable, must be disclosed in the footnotes of the financial statements. Liabilities that are not possible, nor probable, should not be included anywhere.

A firm will often split the stock to keep the stock price within a proper trading range.

a. True
b. False

Answers

Answer:

a. True

Explanation:

Many times a corporation might carry out a stock split in order to prevent the price of its stock to become too expensive. E.g. when Apple's stocks get too expensive, stock splits occur, The last occasion the split stocks was 7:1, i.e. for every existing Apple stock, 6 new ones were issued.

This occurs because if the price of the stock is too high, it will be harder for small investors. Remember that the total capitalization is not affected by a stock split.

On January​ 1, 2018, Brazos Company purchased equipment and signed a​ six-year mortgage note for​ $97,000 at​ 15%. The note will be paid in equal annual installments of​ $25,631, beginning January​ 1, 2019. On January​ 1, 2019, the journal entry to record the first installment payment will include a​ ________. ​ (Round your answer to the nearest whole​ number.) A. credit to Mortgage Payable for​ $97,000

Answers

Answer:

the original journal entry should be:

January 1, 2018, equipment purchased

Dr Equipment 97,000

    Cr Notes payable 97,000

accrued interest on December 31 2018 should be:

Dr Interest expense 14,550

    Cr Interest payable 14,550

the first installment should be recorded as:

January 1, 2019, first installment paid on notes payable

Dr Interest payable 14,550

Dr Notes payable 11,081

    Cr Cash 25,631

Suppose that bicycles and skateboards are substitute goods. All else equal, if the price of bicycles decreases, there will be:_____.a. an upward movement upward along the bicycle demand curve.b. a downward movement along the skateboard demand curve.c. a decrease in the demand curve for skateboards.d. an increase in the demand curve for bicycles.

Answers

Answer:

C

Explanation:

Substitute goods are goods that can be used in place of each other by consumers.

If the price of bicycles declines, there would be a movement down along the demand curve for bicycles.

The decrease in the price of bicycles leads to a shift in the demand curve for skateboards and not a movement along the demand curve for bicycles.

If the price of bicycles decreases, consumers would increase their demand for bicycles and demand less of skateboards. This would lead to a leftward shift of the demand curve for skateboards or a decrease in the demand curve for skateboards

The common stock of the C.A.L.L. Corporation has been trading in a narrow range around $50 per share for months. The price of a 3-month put option with an exercise price of $50 is $4. If the risk-free interest rate is 10% per year, what must be the price of a 3-month call option on C.A.L.L. stock at an exercise price of $50 if it is at the money

Answers

Answer:

$5.18

Explanation:

Calculation for call option

Using this formula

Call option=Put option + Exercise price-[Exercise price/(1+Risk-free interest rate)^Time

Let plug in the formula

Call option= 4 + 50 - [50/(1+.10)^1/4]

Call option= 4 + 50 - [50/(1.10)^1/4]

Call option= $5.18

Therefore what must be the price of a 3-month call option on C.A.L.L. stock at an exercise price of $50 if it is at the money is $5.18

Jasmine's Boutique has 2,000 bonds outstanding with a face value of $1,000 each and a coupon rate of 9 percent. The interest is paid semiannually. What is the amount of the annual interest tax shield if the tax rate is 34 percent?A. $58,500B. $60,750C. $60,100D. $62,250E. $61,200

Answers

Answer:

E. $61,200

Explanation:

total interest expense = 2,000 bonds x $1,000 per bond x 9% = $180,000

the interest shield is the amount of taxes saved by paying interest expense

interest shield = total interest expense x tax rate = $180,000 x 34% = $61,200

this means that the company will be able to reduce its income taxes by $61,200 because it paid interests on their bonds

An employee that only has the authority to use the employer's credit card for business expenses has what kind of relationship?
a. Universal agent
b. General agent
c. Special agent
d. Independent contractor
e. None of the above

Answers

Answer:

a. Universal agent

Explanation:

The universal agent is an employee that has been appointed by the employer to do particular task. It could be appointed via power of attorney through which he can perform all types of functions

Therefore as per the given situation since the employee can use the credit card of the employer for the business expense so this represent that the relationship is of universal agent

hence, the correct option is a.  

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