Furniture Manufacturers Inc., uses 20,000 loads of lumber per year. A load of lumber costs $500 and the carrying cost is 10 perc
ent of the unit cost. The cost to order is $200 per order and the lead time is three working days. Determine (assume 200 working days): a. The economic order quantity b. The reorder point c. Number of orders per year d. Days between orders The use of Excel QM is required.
1 answer:
You might be interested in
Answer:
The NPV of the project at 8.7 percent will be 4,802.58
Explanation:
We will calcualte the present value of the cash inflow:
<u>year 3: </u>
Inflow 11,900.00
time 3.00
rate 0.087
PV 9,265.28
<u>Year 4:</u>
Inflow 11,900.00
time 4.00
rate 0.087
PV 8,523.71
<u>Year 6:</u>
Inflow 50,500.00
time 6.00
rate 0.087
PV 30,613.58
Then, we will add them together and subtract the investment amount
NPV: 30,613.59 + 8,523.71 + 9,265.28 - 43,600 = 4,802.58
Answer:
1) Attached
2) 150-3p = 3p-30
3) P=30, Q=60
4) 150-3p = 3p-90
5) P=40 and Q=30
6) Ps=Pd+10
7) P=35, Q=45
8) P=45, Q=45
Explanation:
We can write the equation for the quantity demanded as:
And the equation for the quantity supplied as:
1) Attached
2) The equilibrium price can be calculated by making the quantity supplied equal to quantity demanded:
3) The equilibrium price is P=30.
The equilibrium quantity can be calculated as:
The equilibrium quantity is Q=60.
4) The supply now becomes:
The equation for the new equilibrium price is:
5) The new equilibrium is at p=40 and Q=30
6) They will receive
7) In this case, the quantity supplied becomes:
The new price equilibrium becomes P=35:
The quantity for this equilibrium is Q=45:
8) Now, the equations for demand and supply are:
The equilibrium price and quantity becomes:
