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tatiyna
2 years ago
9

Matthew​ Liotine's Dream Store sells water beds and assorted supplies. His​ best-selling bed has an annual demand of 395 units.

Ordering cost is ​$38​; holding cost is ​$5 per unit per year. ​a) To minimize the total​ cost, how many units should be ordered each time an order is​ placed? EOQ​ = nothing units ​(round your response to the nearest whole​ number).
Business
1 answer:
Sergeu [11.5K]2 years ago
8 0

Answer:

77.48 units

Explanation:

Data provided in the questions

Annual demand = 395 units

Ordering cost = $38

Holding cost per unit per year = $5

The computation of the economic order quantity is shown below:

= \sqrt{\frac{2\times \text{Annual demand}\times \text{Ordering cost}}{\text{Carrying cost}}}

= \sqrt{\frac{2\times \text{395}\times \text{\$38}}{\text{\$5}}}

= 77.48 units

hence, the economic order quantity is 77.48 units

We simply applied the above formula so that approximate units could come. And it always expressed in units

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2 years ago
Atlas Home Supply has paid a constant annual dividend of $2.40 a share for the past 15 years. Yesterday, the firm announced the
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Answer:

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Explanation:

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5 0
2 years ago
Because orders in organizational buying are typically much larger than in consumer buying, buyers must often __________ when the
Feliz [49]

Answer:

get competitive bids from at least three prospective suppliers

Explanation:

In these specific situations, organizational buyers must often get competitive bids from at least three prospective suppliers. This is because due to the fact that the purchasing amounts are very large there can also be large amounts of money saved by saving a couple of percentages on a purchase. Also since the seller can make large profits from a large order like this one, most suppliers place competitive bids in order to win the transaction.

4 0
1 year ago
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Elan Coil [88]

Answer:

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For instance, Pears may have Pears diapers, clothing lines, lipstick ranges, shoes, body lotions, eye shadow, foundation etc. They are all different products manufactured and all branded as Pears.

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boyakko [2]
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