1. A company sells 146,060 units per year. Fixed costs per order are $178 and carrying cost is $30 per unit per year. What is the Economic Order Quantity?
2. ABC Company sells 2,048 chairs a year at an average price per chair of $126. The carrying cost per unit is $27.41. The company orders 458 chairs at a time and has a fixed order cost of $118.5 per order. The chairs are sold out before they are restocked. What are the total carrying costs?
3. Whitesell Athletic Corporation’s bonds have a face value of $1,000 and a 9% coupon paid semiannually; the bonds mature in 8 years. What current yield would be reported in The Wall Street Journal if the yield to maturity is 8%? (PLEASE US FORMULA)