For a given product, the optimal order quantity is 600 units, average annual demand is 12,000 units, the average lead time is 1 month, and the optimal safety stock is 400 units. What is the average inventory level for this product

Answers

Answer 1
Answer:

Answer:

700 units

Explanation:

       No of orders per year=annual demand/optimal order quantity  

       No of orders per year=12,000/600=20

       Average orders per month=20/11=1.75

Average Inventory=1.75*400=700

Please note that 11 months are taken as 1 month is lead time therefore it is excluded for per month orders.                    


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What would you expect to happen to the demand for a luxury good today, if the government announces it will stop taxing that luxury good next year? a) Consumers will stop their consumption of the luxury good altogether. b) The demand for the luxury good will shift to the right today. c) The demand for the luxury good will shift to the left today. d) There will be no impact on the demand for the luxury good.

Answers

b) The demand for the luxury good will shift to the right today.

When the government announces that it will stop taxing a luxury good next year, it essentially reduces the price of the luxury good for consumers in the future. This change in price expectation is likely to have an immediate effect on consumer behavior. Consumers may anticipate lower prices in the future and, as a result, increase their demand for the luxury good today. This shift in demand to the right indicates higher demand at the current price level.

Final answer:

If the government announces it will stop taxing a luxury good next year, the demand for that luxury good would likely shift to the right (increase) today as consumers anticipate lower prices in the future.

Explanation:

The impact of government tax policies on consumer demand can be a complex topic to consider. In the scenario where the government announces that it will stop taxing a luxury good next year, the demand for that luxury good is likely to shift to the right today. This means that consumer demand will increase.

Many consumers who might have been deterred from purchasing the luxury good due to the extra cost imposed by the tax may now decide to wait until the tax is lifted before making their purchase. Therefore, the demand for the good will remain steady or possibly increase in anticipation.

However, it’s important to note that the shift might not be huge if consumers believe the price savings from the no tax policy isn't significant enough to warrant waiting. Other factors such as individual income levels, the perception of the good's worth, or the perceived urgency to own the good can also influence the shift in demand.

Learn more about Demand Shift here:

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Lucky started a new business last year. Since it was the first year of operation, the business purchased $10,000 in machinery and used the straight-line method for depreciation. Business is booming, so Lucky purchased $15,000 in equipment during the current year to help meet production demands. Which of the following statements is true regarding the depreciation choices available to Lucky? The new machinery can be depreciated under the same method or a different method than the previously purchased machinery T/F

Answers

Answer:

True

Explanation:

The reason is that the Internation Financial Reporting Framework says that though there are choices the company must opt to the depreciation method that brings fairness to the financial statement, which means that the method used calculates the depreciation for the year that actually represents the decrease in the value of the assets in market value. So if the current method brings the fairness to the Financial statements, Lucky can use them and if those don't bring fairness to the financial statements then its better to use alternative which will bring the fairness to financial statements.

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Answers

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Ewa signs an instrument unconditionally promising to pay to "Sunny State Bank" $5,000 with interest in installments with the final payment due June 1, 2013. Refer to Fact Pattern 24-2B. The instrument that Ewa signed is most likely

Answers

Answer:

a promissory note

Explanation:

Based on the information provided within the question it can be said that the instrument that Ewa signed is most likely a promissory note. This is a not that enforces an unconditional promise, from one individual to another promising to make a certain payment in a certain time period. Which is exactly what EWA is signing when agreeing to pay $5,000 with interest in installments with the final payment due June 1, 2013.

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Answers

The answer is C) Begin with a problem in mind or a pain you can relieve

some people have argued that the reported unemployment rate actually understates the extent of unemployment . explain this reasoning and provide 2 examples for support??

Answers

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