Topic 6

Exercises

6-16 (1) Inventory turnover = 2.4

6-20 Financial holding costs = $16,250

6-22 EOQ ≠ 872 tires

6-24 559 backpacks

6-26 (4) Operating income = $180,000

6-28 8,800 units produced

Problems

6-30 Ride EZ Net operating profit = $29,135

6-32 (3) Reorder point for April-October = 43 skis