Flanders Bar and Grill orders cleaning supply kits using the EOQ model. The restaurant estimates that it uses 525 kits per year. The purchase price per kit is $12 with an estimated carrying cost rate of 15%. The cost to place an order from the kit supplier is $10. What is the optimal EOQ order quantity?
a. 212.5
b. 76.4
c. 525
d. 38.2
b. 76.4
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The price-earnings ratio is calculated by dividing:
A. Dividends per share by market value per share. B. Earnings per share by par value per share. C. Market value per share by earnings per share. D. Market value per share by dividends per share. E. Dividends per share by earnings per share.
Which of the following is the first step in the personal selling process?
A) handling objections B) follow-up C) presentation and demonstration D) preapproach E) prospecting and qualifying
Two research studies conducted over a decade apart discovered that the major sources of conflict within project teams are:
A) Schedules and project priorities. B) Personalities and cost. C) Human resources and technical opinions. D) Administrative procedures and budget.
The reason why retained earnings have a cost equal to rs is because investors think they can (i.e., expect to) earn rs on investments with the same risk as the firm's common stock, and if the firm does not think that it can earn rs on the earnings that it retains, it should pay those earnings out to its investors. Thus, the cost of retained earnings is based on the opportunity cost principle.
Answer the following statement true (T) or false (F)