### How JustAnswer Works:

• Ask an Expert
• Get a Professional Answer
• 100% Satisfaction Guarantee

## Ask F. Naz Your Own Question

F. Naz, Chartered Accountant
Category: Homework
Satisfied Customers: 5171
Experience:  Experience with chartered accountancy
20040807
Type Your Homework Question Here...
F. Naz is online now

# satou saitou is the purchasing agent for west valve company

### Resolved Question:

satou saitou is the purchasing agent for west valve company . west valve sells industrial valves and fluid control devices . one of the most popular valves is the westren which has an annual demand of 4000 units the cost of each valve is \$90 and the inventory carrying cost is estimated to be 10% of the cost of each valve. satou has made a study of the costs involved in placing an order for any of the valves that west valve stocks ,and she has concluded that the average ordering cost is \$25 per order . furthermore , it takes about two weeks for an order to arrive from the supplier and durring this time the demand per week for west valves is approximately 80.
(a)What is the EOQ?
(b)What is the ROP?
(c)What is the average inventory ?What is the annual holding cost?
(b)How many orders per year would be placed ?What is the annual ordering cost?
Submitted: 4 years ago.
Category: Homework
Expert:  F. Naz replied 4 years ago.

(a)What is the EOQ?

(2*4000*25/9)^0.5 = 149 units
(b)What is the ROP?

2*80 = 160
(c)What is the average inventory ?

149/2 = 74.5 or 75 units

What is the annual holding cost?

75*9 = \$675
(b)How many orders per year would be placed ?

4000/149 = 26.86 or 27 orders

What is the annual ordering cost?

27*25 = 675

Expert:  F. Naz replied 4 years ago.

Please do not hesitate to ask further and if you are satisfied do not forget to click on ACCEPT button so I get paid for my efforts, thanks.

Customer: replied 4 years ago.
I need a more detailed answer please
Expert:  F. Naz replied 4 years ago.
THIS ANSWER IS LOCKED!

You need to spend \$3 to view this post. Add Funds to your account and buy credits.
F. Naz, Chartered Accountant
Category: Homework
Satisfied Customers: 5171
Experience: Experience with chartered accountancy
F. Naz and 2 other Homework Specialists are ready to help you

### JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

### What Customers are Saying:

• Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
< Previous | Next >
• Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
• This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex Los Angeles, CA
• Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP Hesperia, CA
• I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin Kernersville, NC
• Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther Woodstock, NY
• Thank you so much for taking your time and knowledge to support my concerns. Not only did you answer my questions, you even took it a step further with replying with more pertinent information I needed to know. Robin Elkton, Maryland
• He answered my question promptly and gave me accurate, detailed information. If all of your experts are half as good, you have a great thing going here. Diane Dallas, TX

• ### LogicPro

#### Satisfied Customers:

4925
Expert in Java C++ C C# VB Javascript Design SQL HTML
< Last | Next >

### LogicPro

#### Satisfied Customers:

4925
Expert in Java C++ C C# VB Javascript Design SQL HTML

### Manal Elkhoshkhany

#### Satisfied Customers:

4538
More than 5000 online tutoring sessions.

### Linda_us

#### Satisfied Customers:

3138
Post Graduate Diploma in Management (MBA)

### Chris M.

#### Satisfied Customers:

2602
Master's Degree, strong math and writing skills, experience in one-on-one tutoring (college English)

### F. Naz

#### Satisfied Customers:

2126
Experience with chartered accountancy

### Bizhelp

#### Satisfied Customers:

1887
Bachelors Degree and CPA with Accounting work experience