Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. hi, can someone help me with this question? the so

Hi, can someone help me with this question? the solution key says the answer is...

50.1K

Verified Solution

Question

Accounting

image

image

image

Hi, can someone help me with this question? the solution key says the answer is a) 1200 but where did that 1200 come from? I thought 120 would be one of the choices yet it shows 1200....? where does that number come from?

please show your work! and thanks in advance

Liberty Celebrations, Inc. manufactures a line of flags. The annual demand for its flag display is estimated to be 100,000 units. The annual cost of carrying one unit in inventory is $1.60, and the cost to initiate a production run is $50. There are no flag displays on hand but Liberty had scheduled 60 equal production runs of the display sets for the coming year, the first of which is to be run immediately. Liberty Celebrations has 250 business days per year. Assume that sales occur uniformly throughout the year and that production is instantaneous. [CMA Adapted] A safety stock of a 3-day supply of flag displays would increase Liberty Celebration's planned average inventory in units by 1,200. 800. 400. zero. 6. 100,000/250 days = 40 demand per day 40 x 3 days = 120

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: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

theory 1 The ancestors of giraffes had short necks, and there was great competition for the plant...

Biology
Q

RATORY SIMULATION

Biology
Q

The point in the immersed body through which the resultant pressure of the liquid may...

Physics
Q

During 2022, Ro Lo companys assets decreased by $500,000 and its liabilities decreased by $900,000....

Accounting
Q

In Excel format, answer problem 7-1 Problem 7-1 Badlands Container, Inc. expects to...

Accounting
Q

I need help with this question. Thanks! Krall Company recently had a computer...

Accounting
Q

Zira Company reports the following production budget for the next four months. Each finished unit...

Accounting
Q

Suppose that you need 5000 units of inventory over the course of a year. Each...

Accounting
Q

Company A and Company B entered into a joint venture to manufacture components used by...

Accounting
Q

A key reason that there are various acceptable depreciation methods is A) different assets have...

Accounting
Q

Costello Corporation manufactures a single product. The standard cost per unit of product is shown...

Accounting
Q

Assume the following relationships for the Caulder Corp.: Sales/Total assets 1.9 ...

Finance