Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. 4- a company distributes repair parts for high-end

4- A company distributes repair parts for high-end appliances. The annual demand is 81,000 and...

80.2K

Verified Solution

Question

Accounting

image
4- A company distributes repair parts for high-end appliances. The annual demand is 81,000 and the company operates 300 days per year. The annual carrying cost is 20% of the item cost, which is $500. The ordering cost is estimated at $60 and the shortage cost is $150. i) Determine the optimal order quantity. ii) Determine the optimal shortage level. iii) How many order per year will they place? iv) What is the maximum inventory level? v) Determine the annual shortage cost. vi) If the daily demand is 25 and the lead time in days is 4, what is the reorder point

Answer & Explanation Solved by verified expert
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

Other questions asked by students

Q

Solve the inhomogeneous equation ?u = -f ...

Calculus
Q

Do you believe they have changed policies without the presence of damaging stories in the media?...

Operations Management
Q

What type of feeding strategy is observed in most sponges Deposit feeding Filter feeding Herbivory...

Biology
Q

A furniture company currently produces 7 200 chairs per month If production increases by 9...

Basic Math
Q

Determine between which consecutive integers the real zeros of f(x) = 3x-5x + 5x+7 are...

Basic Math
Q

Click the icon to view the closing prices data Date 09 03 2010 09 07...

Statistics
Q

For each of the following you must show all work in setting up and solving...

Algebra
Q

Brief Exercise 10-50 Preferred and Common Stock Dividends Brookshed Corporation has a single...

Accounting
Q

Current Attempt in ProgressAt the beginning of the current period, Shamrock Corp. had...

Accounting
Q

Hi-Tek Manufacturing, Inc., makes two types of industrial component parts-the B300 and the T500. An...

Accounting
Q

Brooklyn Inc. buys and sells swim spas that are used in homes across Ontario. The...

Accounting
Q

00 Problem 5-45 Retirement Savings (L03) 10 points A couple thinking about retirement decide to...

Finance