Weekly demand for Canon printers at a BestBuy store is normally distributed with a mean of 250 and a standard deviation of 80. Inventory is continuously monitored and an order of 1,000 printers is placed each time the inventory drops to 950 printers. The replenishment lead-time is three weeks. a) How much safety inventory does the store carry? What is the CSL?
b) Assume that the supply lead-time from Canon is normally distributed with a mean of 3 weeks and a standard deviation of 2 weeks. How much safety inventory should BestBuy carry if it wants to provide a CSL of 97 percent?

Gemini inc.'s optimal cash transfer amount, using the baumol model, is $60,000. the firm's fixed cost per cash transfer of marketable securities to cash is $180, and the total cash needed for transactions annually is $960,000. on what opportunity cost of holding cash was this analysis based?

Anew equipment has been proposed by engineers to increase the productivity of a certain manual welding operation. the investment cost is $25,000, and the equipment will have a market value of $5,000 at the end of a study period of five years. increased productivity attributable to the equipment will amount to $10,000 per year after operating costs have been subtracted from the revenue generated by the additional production. if marr is 10%, is investing in this equipment feasible? use annual worth method.

Moody corporation uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. at the beginning of the year, the company made the following estimates: machine-hours required to support estimated production 100,000 fixed manufacturing overhead cost $ 650,000 variable manufacturing overhead cost per machine-hour $ 3.00 required: 1. compute the plantwide predetermined overhead rate. 2. during the year, job 400 was started and completed. the following information was available with respect to this job: direct materials $ 450 direct labor cost $ 210 machine-hours used 40