Question : 41) What the major relevant costs in maintaining safety stock? 41) ______ : 1196175

 

41)

What are the major relevant costs in maintaining safety stock? 41)

______ A)

carrying costs and purchasing costs B)

ordering costs and purchasing costs C)

stockout costs and carrying costs D)

stockout costs and purchasing costs E)

ordering costs and stockout costs

42)

Party Animals sells stuffed tigers. Products, Inc. manufactures all sorts of stuffed animals. Party Animals orders 10,400 tigers per year, 200 per week at $10 per tiger. The manufacturer covers all shipping costs. Party Animals earns 12% on its cash investments. The purchase order lead time is 3 weeks. Party Animals sells 210 tigers per week. The following data are available (based on management’s estimates):

 

Estimated ordering costs per purchase order

 $10

Estimated insurance, materials handling, breakage,

and so on, per year

$ 3

Actual ordering costs per order

$15

 

What is the cost of the prediction error? 42)

______ A)

$1,167.85 B)

$1,237.92 C)

$1,144.82 D)

$19.58 E)

$23.03

43)

The total annual relevant cost equation, TRC, includes all of the following inputs EXCEPT 43)

______ A)

reorder point. B)

EOQ. C)

ordering costs per purchase order. D)

carrying cost per unit. E)

demand in units.

44)

The economic-order quantity decision model 44)

______ A)

calculates the amount of inventory that may be purchased with the monetary constraint. B)

determines the minimum amount of inventory to purchase. C)

calculates the numbers of employees needed. D)

determines the optimal amount of inventory to order. E)

determines the maximum amount of inventory to keep on hand.

45)

When there is an inconsistency between the decision model and the model used to evaluate the performance of the person implementing the model, ________ arise. 45)

______ A)

management issues B)

evaluation point issues C)

goal-congruence issues D)

labour issues E)

performance issues

46)

The possibility of a conflict between the order quantity that an EOQ model recommends and the order quantity that the purchasing manager regards as optimal is increased with 46)

______ A)

the absence of opportunity costs not being recorded in conventional accounting systems. B)

inventory costs which are computed with the FIFO method. C)

lower priced costs of goods sold. D)

lower priced inventory items. E)

the absence of quality costs not being recorded in conventional accounting systems.

47)

When goods and/or materials are purchased in such a manner as to immediately precede demand or use, it is specifically called 47)

______ A)

inventory purchasing. B)

just-in-time purchasing. C)

safety purchasing. D)

materials purchasing. E)

stock purchasing.

48)

Primary components that manufacturers would use to evaluate suppliers under a just-in-time system would include all of the following EXCEPT 48)

______ A)

quality costs. B)

long-term partnerships. C)

on-time delivery. D)

production lead time. E)

purchase price.

49)

Which of the following factor(s) would not cause a reduction in the EOQ? 49)

______ A)

increase in carrying cost [C] B)

electronic commerce C)

long-run purchasing arrangements, fixing price and quality D)

increasing use of purchase order cards E)

labour-intensive procurement methods

50)

The EOQ model is designed to emphasize the tradeoff between which of the following factors? 50)

______ A)

purchasing costs and carrying costs B)

stockout costs and carrying costs C)

carrying costs and ordering costs D)

stockout costs and ordering costs E)

purchasing costs and ordering costs

 

 

Place your order
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more