Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. 2. pc calculators sell calculators that it purchas

2. PC Calculators sell calculators that it purchases for $15 each. It costs PC $60 each...

60.2K

Verified Solution

Question

Finance

2. PC Calculators sell calculators that it purchases for $15each. It costs PC $60 each time calculators are ordered, andcarrying costs are 20% of the calculator's purchase price. Annualdemand is 100,000 calculators. (a) Compute the EOQ. (b) Compute theinventory costs if PC orders are at (i) the EOQ amount, (ii) 1000calculators, (iii) 2500 calculators.

Answer & Explanation Solved by verified expert
3.6 Ratings (353 Votes)
Given Purchase price 15 Ordering cost 60 Carrying cost 20 15 3 a The formula for calculating the EOQ economic order quantity is EOQ 2 Annual demand cost of placing the order carrying cost 12 Now putting the given values in the above    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Transcribed Image Text

2. PC Calculators sell calculators that it purchases for $15each. It costs PC $60 each time calculators are ordered, andcarrying costs are 20% of the calculator's purchase price. Annualdemand is 100,000 calculators. (a) Compute the EOQ. (b) Compute theinventory costs if PC orders are at (i) the EOQ amount, (ii) 1000calculators, (iii) 2500 calculators.

Other questions asked by students

Q

Show the feasible region by shading of the following system of linear inequalities and show all...

Basic Math
Q

Use Euler's method to obtain a four-decimal approximation of the indicated value. Carry out the recursion...

Advance Math
Q

Create an experimental design to determine protein expression? Using high throughput or low through put. Please explain...

Biology
Q

ALLEN Two spherical vessel of equal volume are 40 connected by a narrow tube The...

Physics
Q

2 The change in scales makes it hard to compare scores on t 1996 math...

Statistics
Q

14 Find the domain and range of the function 3 a domain b c 0...

Calculus
Q

You have just been hired as a new management trainee by Earrings Unlimited, a distributor...

Accounting
Q

Schell Company manufactures automobile fioor mats. It currently has two product lines, the Standard and...

Accounting
Q

Required information Exercise 11-23 (Algo) Change in estimate; useful life and residual value of equipment...

Accounting
Q

Which of the following is not one of the five components of the Statement of...

Accounting
Q

You have been approached by the President of Socks Manufacturing Limited to assist them in...

Accounting
Q

3.You are given the two signals in Figure P2.3. (a) Express y(t) as a function...

Accounting