The soft goods department of a large department store sells 175 units per month of a certain large bath towel. The unit cost of a a towel to the store is $2.50 and the cost of placing an order has been estimated to the $12.00. The store uses an inventory carrying charge of 27% of acquisition cost per year. (I) determine the optimal order quantity (ii) determine the number of order per year (iii) compute the total annual cost if order at optimal quantity (iv) determine maximum inventory (v) what is the reorder point if the department operates 25 days per month and it will take 2 days to receive entire order from supplier.​

You are the manager in charge of global operations at bankglobal – a large commercial bank that operates in a number of countries around the world. you must decide whether or not to launch a new advertising campaign in the u.s. market. your accounting department has provided the accompanying statement, which summarizes the financial impact of the advertising campaign on u.s. operations. in addition, you recently received a call from a colleague in charge of foreign operations, and she indicated that her unit would lose $8 million if the u.s. advertising campaign were launched. your goal is to maximize bankglobal’s value. should you launch the new campaign? explain. pre-advertising campaign post-advertising campaign total revenues $18,610,900 $31,980,200 variable cost tv airtime 5,750,350 8,610,400 ad development labor 1,960,580 3,102,450 total variable costs 7,710,930 11,712,850 direct fixed cost depreciation – computer equipment 1,500,000 1,500,000 total direct fixed cost 1,500,000 1,500,000 indirect fixed cost managerial salaries 8,458,100 8,458,100 office supplies 2,003,500 2,003,500 total indirect fixed cost $10,461,600 $10,461,600