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    strawberrylipsd's Avatar
    strawberrylipsd Posts: 3, Reputation: 1
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    #1

    Oct 28, 2012, 06:14 AM
    Managerial finance II
    Your company anticipates selling 3,400 units per month for the upcoming fiscal year. It will cost $10 to order units at $1 per unit, plus an additional $0.15 per unit carrying charge. Assuming that your company uses inventory at a constant rate throughout the year, how many units should you order each time? Round to the higher whole number.

    a. 476
    b. 674
    c. 102
    d. 510
    ArcSine's Avatar
    ArcSine Posts: 969, Reputation: 106
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    #2

    Oct 29, 2012, 03:45 AM
    This is a straightforward application of the EOQ model. Show what you've attempted and explain where you're unsure of your calculation.

    Note that although your problem didn't specify, the unit carrying charge (15 ¢) appears to be per month. The model requires consistency between the inputs, so either express both the volume and the carrying charges on an annual basis, or on a monthly basis. Either one works, as long as they're both on the same basis.
    strawberrylipsd's Avatar
    strawberrylipsd Posts: 3, Reputation: 1
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    #3

    Oct 29, 2012, 05:39 AM
    But you did not show me the working?
    ArcSine's Avatar
    ArcSine Posts: 969, Reputation: 106
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    #4

    Oct 29, 2012, 06:04 AM
    Re-read this forum's homework assistance rules (you read them before you posted your question, didn't you?). You cannot simply post your question and then sit back and wait for someone to work the problem for you.

    In order to receive assistance, you are to FIRST show that you have put effort into solving the problem. You show what you have attempted, THEN someone here will help reach the solution. Those are the rules.

    I tried to help you get started with a couple of hints. But with your "I am still waiting" remark, it has occurred to me that I have better things to do.
    strawberrylipsd's Avatar
    strawberrylipsd Posts: 3, Reputation: 1
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    #5

    Oct 29, 2012, 07:18 AM
    I will no longer be using askmehelpdesk.com for any help, because you was not no help at all.
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