Flint Ltd. Has the following quantity discount policy with its supplier Evanora Inc. Quantity Price per Case 1-299 cases $25.00 300-749 cases $23.94 750-1,499 cases $22.56 1,500 + cases $21.55 The economic order quantity is 162 cases and the annual usage is 44,615 cases. The ordering cost (K) is $5 per order and the carrying cost of inventory (H) is $17 per unit. Determine the most cost-effective order quantity. (Round answers to 2 decimal places, e.g. 125.74.) Most cost effective order quantity Total Cost %24

Flint Ltd. Has the following quantity discount policy with its supplier Evanora Inc. Quantity Price per Case 1-299 cases $25.00 300-749 cases $23.94 750-1,499 cases $22.56 1,500 + cases $21.55 The economic order quantity is 162 cases and the annual usage is 44,615 cases. The ordering cost (K) is $5 per order and the carrying cost of inventory (H) is $17 per unit. Determine the most cost-effective order quantity. (Round answers to 2 decimal places, e.g. 125.74.) Most cost effective order quantity Total Cost %24

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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