« previous next »

Author Question: List at least 3 examples of carrying costs associated with holding ... (Read 74 times)

danielfitts88

  • Hero Member
  • *****
  • Posts: 535
on: Jun 24, 2018
List at least 3 examples of carrying costs associated with holding inventory.

Question 2

How is the stock reorder point calculated?


verrinzo

  • Sr. Member
  • ****
  • Posts: 346
Reply #1 on: Jun 24, 2018
Answer to Question 1

interest on money borrowed to buy the inventory, property taxes on the inventory's value, insurance, storage costs, and loss from theft, damage, or obsolescence

Answer to Question 2

Multiply the daily usage by the average number of days needed for new stock to be delivered. Add to this any amount of safety stock desired to ensure you will not run out of stock. This amount is the reorder point.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

danielfitts88

  • Hero Member
  • *****
  • Posts: 535
Reply #2 on: Jun 24, 2018
Correct answers!


verrinzo

  • Sr. Member
  • ****
  • Posts: 346
Reply #3 on: Jun 24, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

Cocaine was isolated in 1860 and first used as a local anesthetic in 1884. Its first clinical use was by Sigmund Freud to wean a patient from morphine addiction. The fictional character Sherlock Holmes was supposed to be addicted to cocaine by injection.

Did you know?

Excessive alcohol use costs the country approximately $235 billion every year.

Did you know?

Throughout history, plants containing cardiac steroids have been used as heart drugs and as poisons (e.g., in arrows used in combat), emetics, and diuretics.

Did you know?

Patients who have undergone chemotherapy for the treatment of cancer often complain of a lack of mental focus; memory loss; and a general diminution in abilities such as multitasking, attention span, and general mental agility.

Did you know?

The types of cancer that alpha interferons are used to treat include hairy cell leukemia, melanoma, follicular non-Hodgkin's lymphoma, and AIDS-related Kaposi's sarcoma.

Examples of three types of joints found in the body. Examples of three types of joints found in the body.
Examples of USP labels Source: Courtesy of Novartis Pharmaceuticals Corporation and Mallinckrodt Pha Examples of USP labels Source: Courtesy of Novartis Pharmaceuticals Corporation and Mallinckrodt Pha
Percentages of adolescents indicating Benefits and Costs of employment. Percentages of adolescents indicating Benefits and Costs of employment.
ICD-10-CM Tabular List ICD-10-CM Tabular List
Separate the metatarsals. Create space between the metatarsals by holding onto the sides of the foot ... Separate the metatarsals. Create space between the metatarsals by holding onto the sides of the foot ...
Examples of low and high Entropy states Examples of low and high Entropy states
Video: Neuron Type Animation

For a complete list of videos, visit our video library