Business, 24.03.2020 05:33 SkinnestXOXO

A food processor uses approximately 27,000 jars a month for its fruit juice product. Because of storage limitations, a lot size of 4,000 jars has been used. Monthly holding cost is $0.18 per jar, and reordering cost is $60 per order. The company operates an average of 20 days per montha. What penalty is the company incurring by its present order size?

b. The manager would prefer ordering 10 times each month but would have to justify any change in order size. One possibility is to simplify order processing to reduce the ordering cost. What ordering cost would enable the manager to justify ordering every other day?

c. Suppose that after investigating ordering cost, the manager is able to reduce it to $50. How else could the manager justify using an order size that would be consistent with ordering every other day?.

Answers: 1

Show answers

Another question on Business

Business, 21.06.2019 20:40

Balances for each of the following accounts appear in an adjusted trial balance. identify each as an asset, liability, revenue, or expense. 1. accounts receivable 2. equipment 3. fees earned 4. insurance expense 5. prepaid advertising 6. prepaid rent 7. rent revenue 8. salary expense 9. salary payable 10. supplies 11. supplies expense 12. unearned rent

Answers: 3

Answer

Business, 21.06.2019 22:50

The following data pertains to activity and costs for two months: june july activity level in 10,000 12,000 direct materials $16,000 $ ? fixed factory rent 12,000 ? manufacturing overhead 10,000 ? total cost $38,000 $42,900 assuming that these activity levels are within the relevant range, the manufacturing overhead for july was: a) $10,000 b) $11,700 c) $19,000 d) $9,300

Answers: 2

Answer

Business, 22.06.2019 09:00

Harry is 25 years old with a 1.55 rating factor for his auto insurance. if his annual base premium is $1,012, what is his total premium? $1,568.60 $2,530 $1,582.55 $1,842.25

Answers: 3

Answer

Business, 22.06.2019 17:50

On january 1, eastern college received $1,350,000 from its students for the spring semester that it recorded in unearned tuition and fees. the term spans four months beginning on january 2 and the college spreads the revenue evenly over the months of the term. assuming the college prepares adjustments monthly, what amount of tuition revenue should the college recognize on february 28?

Answers: 2

Answer

You know the right answer?

A food processor uses approximately 27,000 jars a month for its fruit juice product. Because of stor...

Questions